If a Product Line Has a Negative Contribution Margin, the Product

question 152

True/False

If a product line has a negative contribution margin, the product is not covering its fixed costs and should be discontinued.

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Definitions:

Current Employees

Individuals who are actively employed and working for an organization at the present time.

80 Percent Rule

A guideline in human resources indicating a test is considered to have adverse impact if the selection rate for a minority group is less than 80% of the rate for the group with the highest selection rate.

Adverse Impact

The unintended and negative effects of a company's policies, practices, or procedures on certain groups of employees or potential employees.

Panel Interview

An interview format where a candidate is questioned by multiple interviewers simultaneously, often used to assess the candidate from different perspectives.