If Fixed Costs Are $15,000, Profit Before Income Taxes Is

question 25

Multiple Choice

If fixed costs are $15,000, profit before income taxes is $55,000, revenues are $160,000, variable costs are $90,000, contribution margin is:

• A) $105,000.
• B) $90,000.
• C) $70,000.
• D) $55,000.

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Definitions:

Merit Pay

A compensation strategy that involves giving employees pay increases based on their performance achievements, as an incentive for productivity and excellence.

Effective Career Planning

A strategic approach to identifying one's career goals and outlining the steps and resources necessary to achieve them.

Workforce

The collective group of individuals engaged in or available for work, either in a specific company or in a country.

Career Planning

The process of setting career goals and outlining steps for achieving them, taking into account one's skills, interests, and job opportunities.