Mercantile Corporation Has Sales of $2,000,000, Variable Costs of $1,100,000

question 73

Multiple Choice

Mercantile Corporation has sales of $2,000,000, variable costs of $1,100,000, and fixed costs of $750,000.Mercantile's margin of safety ratio is

• A).08.
• B).17.
• C).20.
• D).83.

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Definitions:

Network Effect

The network effect is a phenomenon whereby a product, service, or platform increases in value to its users as the number of users expands, commonly seen in telecommunications and social media networks.

Product Or Service

is any good or service offered by a business to consumers to satisfy a need or want.

Class, Race, Gender

These are sociological categories used to differentiate and study the variations in social structures, experiences, and identities among people based on their socioeconomic status, ethnic background, and gender.

Social Characteristics

Social characteristics refer to the distinct features and qualities that define the structure and dynamics of a society, including its norms, values, and demographic attributes.