Pippen Co Recorded Operating Data for Its Shoe Division for the the Year

question 24

Multiple Choice

Pippen Co. recorded operating data for its shoe division for the year. The company's desired return is 5%. $$\begin{array} { l r } \text { Sales } & \$ 1,000,000 \\\text { Contribution margin } & 200,000 \\\text { Total direct fixed costs } & 120,000 \\\text { Average total operating assets } & 400,000\end{array}$$ Which one of the following reflects the controllable margin for the year?

• A) 20%
• B) 50%
• C) $60,000
• D) $80,000

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Definitions:

Stability at Work

The degree to which an employee remains consistent in their job performance and commitment over time.

Structured Interview

An interview in which the examinee is asked to respond to a set of preestablished items. This is often done verbally, although sometimes clients can respond to written items.

Misinterpretation

Incorrect or mistaken understanding or explanation of something.

Dehumanizing

The process of depriving a person or group of positive human qualities, making them seem less human.