If the property tax rates are increased,this change in fixed costs will result in an increase in the break-even point.

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Quizplus · Accepted Answer

Property taxes are a fixed cost for businesses, which means they do not vary with the level of production or sales. An increase in fixed costs will lead to a higher break-even point, as the business will need to sell more units or generate more revenue to cover the increase in expenses and maintain profitability. Therefore, if the property tax rates are increased, the break-even point for the business will also increase.

If the Property Tax Rates Are Increased,this Change in Fixed