Please Calculate the Profit Contribution as a Percentage of Sales

question 46

Multiple Choice

Please calculate the profit contribution as a percentage of sales to be used in the ROAM calculation, if sales = $20,000,000; accounts receivable = $8,000,000; and profit contribution = $5,000,000:

• A) 20 percent.
• B) 40 percent.
• C) 50 percent.
• D) 5 percent.
• E) 25 percent.

Identify different behavioral factors such as modes of thinking, acting, and interacting.

Understand the process and importance of self-disclosure in enhancing self-awareness.

Learn about the "Big Five" personality traits and their influence on behavior.

Recognize the consequence of low emotional intelligence on self-awareness and competency.

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Definitions:

Fixed Costs

Expenses that do not change with the level of production or sales, such as rent, salaries, and insurance.

Nonfinancial Information

Data that relates to the operational, environmental, and social aspects of a business, which cannot be easily quantified in monetary terms.

Employee Turnover

The rate at which employees leave a company and are replaced by new employees.

Contribution Margin

The difference between the sales revenue of a product and its variable costs, used to cover fixed expenses and contribute to profits.