Which of the Following Measures Would Reflect the Variable Costs

question 58

Multiple Choice

Which of the following measures would reflect the variable costs incurred by a business segment? $\begin{array} { | l | c | c | c | c | } \hline & \begin{array} { c } \text { Segment } \\\text { Contribution } \\\text { Margin }\end{array} & { \begin{array} { c } \text { Profit Margin } \\\text { Controllable by Segment } \\\text { Manager }\end{array} } & \begin{array} { c } \text { Segment } \\\text { Profit Margin }\end{array} \\\hline 1 & \text { Yes } & \text { No } & \text { No } \\\hline 2 & \text { Yes } & \text { No } & \text { Yes } \\\hline 3 & \text { Yes } & \text { Yes } & \text { No } \\\hline 4 & \text { Yes } & \text { Yes } & \text { Yes } \\\hline 5 & \text { No } & \text { Yes } & \text { Yes } \\\hline\end{array}$

• A)1
• B)2
• C)3
• D)4
• E)5

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Definitions:

Generous Scoops

The act of providing or serving portions of food, especially ice cream, that are more substantial than what is standard or expected.

Low Premium

Pertains to the relatively small amount paid for insurance coverage or other financial products, compared to higher-coverage options.

High Deductible

A health insurance plan feature requiring the policyholder to pay a significant amount of money before the insurance coverage begins.

High Premium

A term used in insurance to describe the higher cost paid by the insured for a policy with greater coverage or higher risk protection.