A Manager Who Wants to Determine the Percentage Impact on Net

question 60

Multiple Choice

A manager who wants to determine the percentage impact on net income of a given percentage change in sales would multiply the percentage increase/decrease in sales revenue by the:

• A)contribution margin.
• B)gross margin.
• C)operating leverage factor.
• D)safety margin.
• E)contribution-margin ratio.

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Definitions:

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A method of stone construction, named after the mythical Cyclopes, using massive, irregular blocks without mortar, characteristic of the Bronze Age fortifications of Tiryns and other Mycenaean sites.

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