Figure 8-2
Lewis Production Company Had the Following Projected Information

question 33

Multiple Choice

Figure 8-2
Lewis Production Company had the following projected information for 2011: $\begin{array}{lr}\text { Selling price per unit } & £ 150 \\\text { Variable cost per unit } & £ 90 \\\text { Total fixed costs } & £ 300,000\end{array}$
-Refer to Figure 8-2. What is the contribution margin ratio?

• A)0.400
• B)1.667
• C)2.500
• D)0.600

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Definitions:

Subliminal Perception

The ability to detect information below the conscious level of awareness, which may influence thoughts, feelings, or actions without one being consciously aware of the stimuli.

Weber's Law

A principle stating that the change in a stimulus that will be just noticeable is a constant ratio of the original stimulus.

Just Noticeable Difference

The smallest change in intensity of a stimulus that can be detected by the sensory system.

Psychophysics Term

Relates to the study of the relationship between physical stimuli and the sensations and perceptions they produce.