How Has Consolidation of Radio Ownership Affected Individual Traffic and Billing

question 5

Multiple Choice

How has consolidation of radio ownership affected individual traffic and billing departments?

• A) The individual traffic departments at stations in the cluster are no longer necessary and are typically centralized
• B) Traffic is managed at corporate headquarters for all station clusters
• C) Traffic continues to be managed locally by each individual station in the cluster
• D) The need to manage traffic and generate daily program logs has been made unnecessary by computers

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Definitions:

Variable Maintenance Cost

Costs that change in proportion to the operational activity of a company, such as repairs and maintenance expenses that vary with usage.

Mixed Cost

A cost containing both variable and fixed cost elements, changing in total with activity level but not proportionately.

Direct Labor Hours

The total time workers spend producing a product or providing a service, directly tied to the production process.

Contribution Margin Ratio

A financial metric that shows what percentage of sales revenue is available to cover fixed costs and generate profit after variable costs have been paid.