Which of the Following Formulas Is Used to Calculate the Contribution

question 64

Multiple Choice

Which of the following formulas is used to calculate the contribution margin ratio?

• A) (Sales − Fixed costs) ÷ Sales.
• B) (Sales − Cost of goods sold) ÷ Sales.
• C) (Sales − Variable costs) ÷ Sales.
• D) (Sales − Total costs) ÷ Sales.

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Definitions:

Contrast Error

The distortion in performance appraisal arising when an employee's evaluation is influenced by comparison with a previously evaluated employee rather than objective standards.

Interviewer

The interviewer is a person who asks questions in a structured or unstructured format to gather information, opinions, or data from interviewees.

Applicant

An individual who applies for a job, program, or opportunity.

Halo Effect

A cognitive bias where an individual's overall impression of a person influences how they feel and think about that person's character or properties.