Blistre Company Operates on a Contribution Margin of 30% and Currently

question 8

Multiple Choice

Blistre Company operates on a contribution margin of 30% and currently has fixed costs of $550,000. Next year, sales are projected to be $3,100,000. An advertising campaign is being evaluated that costs an additional $120,000. How much would sales have to increase to justify the additional expenditure?

• A) $280,000
• B) $930,000
• C) $400,000
• D) $550,000

---

Definitions:

Directory

A hierarchical structure that include files, folders, and drives used to create a more organized and efficient computer.

Windows PC

A personal computer that runs on the Microsoft Windows operating system, widely used in homes and workplaces.

Managing Files

The process of organizing, storing, and keeping track of files and folders on a computer.

Disk

A physical device used to store and retrieve digital information, such as a hard drive, floppy disk, or optical disc.