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

Identify techniques for eliciting a relaxation response.

Understand the importance of positive thinking in stress management.

Acknowledge individual differences in stress thresholds and responses.

Grasp the concept of work stress and its causes.

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Definitions:

Pure Nondiscriminating Monopolist

A market situation where a single seller sells a product to all buyers at the same price without price discrimination.

Allocative Efficiency

A state of the economy in which production represents consumer preferences; in particular, every good or service is produced up to the point where the last unit provides a utility to consumers equal to the cost of producing it.

Productive Efficiency

A situation in which a good or service is produced at the lowest possible cost.

Monopolistic Producer

A single producer that has control over the market for a product or service, often characterized by a lack of close substitutes.