The Contribution Margin in Break -Even Analysis Is Derived by Subtracting

question 41

Multiple Choice

The contribution margin in break -even analysis is derived by subtracting

• A) variable cost per unit from fixed costs.
• B) variable cost per unit from price.
• C) fixed costs from variable costs.
• D) price from variable costs.
• E) fixed costs from price.

Assess the utility and methodology of engaging potential customers in the validation of a business idea.

Appreciate the advantages and limitations of using visuals in presenting business plans.

Understand the basic terminology and concepts of design thinking.

Recognize the importance of empathy and human-centered design in the design thinking process.

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Definitions:

Biological Need

A basic requirement of the living organism for its survival, such as food, water, shelter, and oxygen.

Homeostasis

The process by which biological systems tend to maintain stability while adjusting to conditions that are optimal for survival.

Drive

An internal motivational state created by physiological or psychological needs that drives an individual to engage in behaviors to satisfy those needs.

Alertness

A state of active attention by the mind to the environment or stimuli, often marked by a heightened sense of awareness.