Rhein Manufacturing Recorded Operating Data for Its Auto Accessories Division

question 118

Multiple Choice

Rhein Manufacturing recorded operating data for its auto accessories division for the year. $$\begin{array} { l r } \text { Sales } & \$ 750,000 \\\text { Contribution margin } & 150,000 \\\text { Total direct fixed costs } & 90,000 \\\text { Average total operating assets } & 400,000\end{array}$$ How much is ROI for the year if management is able to identify a way to improve the contribution margin by $30,000, assuming fixed costs are held constant?

• A)45.0%
• B)22.5%
• C)15.0%
• D)12.0%

Analyze the effects of changes in the determinants of demand and supply on market equilibrium.

Grasp the impact of government interventions, such as price floors and ceilings, on market outcomes.

Evaluate the consequences of shifts in demand and supply curves through graphical analysis.

Comprehend the law of demand, the law of supply, and their exceptions.

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Definitions:

Salivating

The production and release of saliva in the mouth, often in response to the anticipation of food, through a reflex action.

Conditioned Stimulus

A previously neutral stimulus that, after becoming associated with an unconditioned stimulus, eventually triggers a conditioned response.

Sight of Person

The visual perception of another individual by an observer.

Puff of Air

A brief, forceful emission of air often used in experimental psychology to test blink reflex or corneal reflex responses.