The Contribution Margin Approach Helps Managers in Short-Term Decision Making

question 103

Multiple Choice

The contribution margin approach helps managers in short-term decision making because it ________.

• A) treats fixed manufacturing overhead as product costs
• B) reports only mixed costs
• C) reports costs and revenues at present value
• D) isolates costs by behavior

---

Definitions:

Amphetamine

A powerful stimulant used to treat conditions like ADHD by increasing attention and reducing impulsiveness and hyperactivity.

Ephedrine

A medication and stimulant used to prevent low blood pressure during spinal anesthesia and treat narcolepsy, obesity, and asthma.

Marijuana

A psychoactive drug derived from the Cannabis plant, used for medical or recreational purposes, known to affect mood, perception, and cognition.

Glaucoma

A group of eye conditions that can cause damage to the optic nerve, often due to high eye pressure, and can lead to vision loss if not treated.