A Contribution Margin Is Calculated by Subtracting Variable Expenses from Sales

question 90

Multiple Choice

A contribution margin is calculated by subtracting variable expenses from sales, and represents the amount of revenue that contributes to covering the ____ expenses of a company.

• A) variable
• B) fixed
• C) tax
• D) accounts payable

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Definitions:

Valued Resources

Assets, either tangible or intangible, that are highly regarded and sought after by individuals or organizations due to their utility or importance.

Coercive Power

A form of power that is based on the ability to deliver punishments or impose penalties on others.

Expert Power

The influence or authority derived from having specialized knowledge or expertise in a particular area.

Reward Power

Reward power is the capacity to influence others' behavior by controlling the allocation of rewards or benefits.