The Contribution Margin Is So Called Because It Contributes To

question 5

Multiple Choice

The contribution margin is so called because it contributes to:

• A)variable costs.
• B)fixed and variable costs.
• C)fixed costs and profit.
• D)fixed costs.

---

Definitions:

Production Factors

The inputs used in the process of producing goods or services, typically classified as land, labor, and capital.

Globalized Market

A large market created by combining separate national markets.

European Union

A political and economic union of 27 European countries that are located primarily in Europe, aiming to ensure free movement of people, goods, services, and capital.

Additional Taxes

Taxes levied in addition to the basic tax rate on income, property, or goods.