Company XYZ sells two products: AAA and BBB. Product AAA has a lower selling price...
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Accounting
Company XYZ sells two products: AAA and BBB. Product AAA has a lower selling price but higher contribution margin compared to product BBB. Assume that the factory has fixed production capacity. If Company XYZ decided to produce and sell more units of product AAA compared to product BBB, which one of the following is likely to happen? Select one: O a. Total profits will decrease O b. Total sales will increase O c. Total profit will increase O d. None of the given answers O e. Total profits will remain the same
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