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Commerce · Q2186

Accounting

Graduate and Post Graduate · Commerce · question 2186

Q2186

With reference to margin of safety, which of the following will improve it? 1. By lowering BEP through reduction of fixed cost. 2. By adopting a better profitable product mix. Select the correct answer:

A.
1 Only
B.
2 Only
C.
Both 1 and 2
Answer
D.
Neither 1 nor 2

Answer: Option C

Solution

Answer: Option C
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