1. Hola Ltd has recently invested in state of the art manufacturing equipment to improve...

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Accounting

1. Hola Ltd has recently invested in state of the art manufacturing equipment to improve their product quality. As a result they have been able to significantly reduce their variable manufacturing costs. This decision will _____ operating leverage.

A. Have no effect on

B. Eliminate

C. Decrease

D. Increase

2. Which of the following is not an influence on pricing decisions?

A. Competitor behavior

B. Product Cost

C. Ethical Issues

D. Environmental reporting legislation

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