Which Is the Major Product from the Following Consecutive Reactions

question 9

Multiple Choice

Which is the major product from the following consecutive reactions?

• A) I
• B) II
• C) III
• D) IV

---

Definitions:

Contribution Margin

The difference between sales revenue and variable costs, showing how much revenue contributes towards covering fixed costs and generating profit.

Absorption Costing

A method in accounting where all costs of manufacturing are absorbed by the units produced.

Variable Costing

A costing method that includes only variable production costs (direct labor, materials, and overhead) in product costs, excluding fixed costs.

Fixed Overhead

Denotes the regular, recurring costs associated with running a business that do not fluctuate with production volume, such as rent, salaries, and utilities.