Managers Should Discontinue a Business If Its Contribution Margin Is

question 127

Multiple Choice

Managers should discontinue a business if its contribution margin is less than the sum of:

• A) Relevant fixed costs and opportunity costs
• B) Relevant fixed costs and sunk costs
• C) Relevant opportunity costs and sunk costs
• D) Relevant opportunity costs and profits

---

Definitions:

Night Shift Worker

An individual who is employed in work hours scheduled during the evening or night, often resulting in altered sleep patterns and potential health risks.

Light Breakfast

A small or modest morning meal that is easier to prepare and consume, typically including foods like fruits, bread, or cereals.

Restless Legs Syndrome (RLS)

A neurological disorder characterized by an irresistible urge to move the legs, usually due to uncomfortable sensations.

Caffeine

A stimulant found in coffee, tea, chocolate, and some medications, known for its ability to enhance alertness and focus.