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All other things being equal, which of the following is a consequence of an increase...

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Accounting

All other things being equal, which of the following is a consequence of an increase in a division's traceable fixed expenses?

  1. The overall company operating income will remain the same.
  2. The division's contribution margin ratio will decrease.
  3. The division's segment margin will decrease.
  4. The division's segment margin ratio will remain the same.

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