By Multiplying ________ and Then Subtracting Fixed Costs, Managers Can

question 177

Multiple Choice

By multiplying ________ and then subtracting fixed costs, managers can quickly forecast the operating income.

• A)projected sales units by the contribution margin ratio
• B)projected sales revenue by the contribution margin ratio
• C)projected sales revenue by the unit contribution margin
• D)projected sales units by the variable cost ratio

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Definitions:

Instinct Approaches

Theoretical perspectives in psychology that suggest some human behaviors are innate and due to evolutionary programming.

Explanation

The process of making something clear or understandable by describing the relevant facts or ideas.

Motivation

The process by which activities are started, directed, and continued so that physical or psychological needs or wants are met.

Extrinsic Motivation

Motivation that is driven by external rewards such as money, fame, grades, and praise.