USProducts Operates Two Divisions with the Following Sales and Expense

question 49

Multiple Choice

U.S.Products operates two divisions with the following sales and expense information for the month of July: East Division: Sales $240,000; Contribution margin ratio 35%, Direct fixed expenses $48,000.
West Division: Sales $160,000; Contribution margin ratio 50%, Direct fixed expenses $32,000.
U.S.Products' total fixed expenses during July was $200,000.
U.S.Products' common fixed expenses for July are:

• A)$80,000.
• B)$84,000.
• C)$120,000.
• D)$200,000.

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Definitions:

Hierarchy of Fears

A theoretical framework suggesting that fears can be organized in a hierarchical fashion, ranging from less to more intense, which can be useful in treatments like systematic desensitization.

Astraphobia

The intense fear of thunder and lightning.

Systematic Desensitization

A behavior therapy used to reduce phobic reactions through gradual exposure to feared stimuli or situations combined with relaxation techniques or coping mechanisms.

Traumatic

Pertaining to or resulting from an event that causes severe emotional stress or physical injury.