Use the Following Information for Items

question 57

Multiple Choice

Use the following information for items
Ed Green Corporation has two divisions; Outdoor Sports and Indoor Sports.The sales mix is 60% for Outdoor Sports and 40% for Indoor Sports.Green incurs $2,420,000 in fixed costs.The contribution margin ratio for the Outdoor Sports Division is 40%, while for the Indoor Sports Division it is 50%.
-The break-even point in dollars is

• A)$985,600.
• B)$4,869,565.
• C)$4,977,777.
• D)$5,500,000.

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Definitions:

Lower And Upper Values

The minimum and maximum values in a dataset or for a variable, defining its range.

Reject The Hypothesis

The decision in hypothesis testing that the evidence is sufficient to conclude the hypothesis is not consistent with the data.

Type II Error

A statistical term referring to the error that occurs when a false null hypothesis fails to be rejected.

Null Hypothesis

A statement that assumes no effect or no difference in a statistical hypothesis test.