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Reference: 06-10
the Following Data Have Been Provided by a Retail

question 67

Multiple Choice

Reference: 06-10
The following data have been provided by a retail company that sells a single product.  This Year  Last Year  Units sold 200,000150,000 Sales revenue $1,000,000$750,000 Less cost of goods sold 700,000525,000 Gross margin 300,000225,000 Less operating expenses 222,000210,000 Net income $78,000$15,000\begin{array} { | l | l | l | } \hline & \text { This Year } & \text { Last Year } \\\hline \text { Units sold } & 200,000 & 150,000 \\\hline \text { Sales revenue } & \$ 1,000,000 & \$ 750,000 \\\hline \text { Less cost of goods sold } & 700,000 & 525,000 \\\hline \text { Gross margin } & 300,000 & 225,000 \\\hline \text { Less operating expenses } & 222,000 & 210,000 \\\hline \text { Net income } & \$ 78,000 & \$ 15,000 \\\hline\end{array}
-If total variable costs are $748,000, what is the company's contribution margin for this year?


Definitions:

Sarcomere

The fundamental unit of muscle fiber responsible for muscle contraction, defined by the area between two Z lines in striated muscle cells.

Actin Myofilament

A protein filament that, along with myosin, plays a role in muscle contraction and cell movement.

Z Disk

A structure within the sarcomere of muscle fibers that serves as the attachment site for actin filaments, marking the boundary between sarcomeres.

Sarcomere

The structural unit of a muscle fiber, consisting of a repeating sequence of actin and myosin filaments, responsible for muscle contraction.

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