At Its Present Level of Operations,a Small Manufacturing Firm Has

question 65

Multiple Choice

At its present level of operations,a small manufacturing firm has total variable costs equal to 75 percent of sales and total fixed costs equal to 15 percent of sales.Based on variable costing,if sales change by $1.00,income will change by

• A)$0.25.
• B)$0.10.
• C)$0.75.
• D)can't be determined from the information given.

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Definitions:

Parathyroid Hormone

A substance secreted by the parathyroid glands that controls the amount of calcium in the bloodstream.

Bone Resorption

The process by which osteoclasts break down bone tissue, releasing minerals into the blood and leading to a decrease in bone density.

Inferior Good

A good that has a negative income effect.

Goods

Physical items that satisfy human wants or needs and can be transferred or sold.