When variable costs are high relative to total costs, those companies or organizations are said to be margin sensitive.

Name: When variable costs are high relative to total costs, those companies or organizations are said to be margin sensitive.
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Quizplus · Accepted Answer

When variable costs are high, a company's profit margins are more sensitive to changes in sales volume, as variable costs fluctuate with production levels, impacting overall profitability.

When Variable Costs Are High Relative to Total Costs, Those