contestada

On the twentieth day of the month, room sales at the Motor Lodge Motel exceeded its breakeven point for the month. Revenue generated by room sales during the remaining days of the month will:_______.a. decrease in proportion to the additional room sales.b. cover the fixed costs associated with those additional room sales.c. be pure profit for the motel.d. increase at a faster rate than the costs associated with those sales.

Respuesta :

hyderali230

Answer:

d. increase at a faster rate than the costs associated with those sales.

Explanation:

Revenue generated will increase at a faster speed than the cost associated with the sales because the fixed cost associated with the sales has alredy been covered and now the only cost which we have to deal is the variable cost only. So the returns / profit from the remaining days will also increase faster than the rate of the cost associated with them.

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