Answer:
would decrease.
Explanation:
The computation is shown below:
As we know that
Contribution = Sales - Variable Expenses
And,
PV Ratio = Contribution margin ÷ Sales
So, PV Ratio of C90B is
= ($24,000 - $6,480) ÷ $24,000
= 73%
And PV Ratio of Y45E is
= ($29,000 - $11,010) ÷ ($29,000)
= 62.03%
It increases in overall PV ratio also overall contribution would be more that reduced the break even point
<span>According to the theory of comparative advantage, trade and specialization Raise productivity by lowering opportunity cost.
According to this theory, focussing on something that does not give the company in a competitive advantage will only wasting up resource because they simply compete with the companies who have the competitive advantages.</span>
Its capacity to perform the functions you or a person want it to