Examlex
Which of the following is a measure of the sensitivity of customers to changes in price?
Margin Of Safety
The difference between the actual or expected profitability of a project and the break-even point. It is a cushion against uncertainty.
Net Operating Income
The profit generated from a company's everyday operations, calculated by subtracting operating expenses from operating income.
Contribution Margin
The difference between sales revenue and variable costs of a product or service, indicating the amount contributing to covering fixed costs and generating profit.
Contribution Margin
The amount of revenue from sales that exceeds variable costs, contributing to covering fixed costs and generating profit.
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