Youns Increported the Following Results from Last Year's Operations: the the Company's

question 15

Multiple Choice

Youns Inc.reported the following results from last year's operations: The company's average operating assets were $5,000,000.

At the beginning of this year, the company has a $1,400,000 investment opportunity that involves sales of $2,800,000, fixed expenses of $616,000, and a contribution margin ratio of 30% of sales.

If the company pursues the investment opportunity and otherwise performs the same as last year, the combined turnover for the entire company will be closest to:

• A)9.50
• B)1.64
• C)2.66
• D)2.08

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Definitions:

Maslow's Hierarchy

A psychological health theory based on meeting inherent human needs in order of importance, leading to the ultimate goal of self-actualization.

Physiological Needs

Fundamental human requirements for survival, such as food, water, shelter, and sleep, as identified in Maslow's hierarchy of needs.

Safety Needs

A level in Maslow's hierarchy of needs that entails security, safety, and stability in one’s physical and emotional environment.

Social Needs

Represents the basic human necessities for belonging, love, and affection, as part of Abraham Maslow's hierarchy of needs, emphasizing the importance of interpersonal relationships.