A Project Has a Contribution Margin of $5,projected Fixed Costs

question 8

Multiple Choice

A project has a contribution margin of $5,projected fixed costs of $10,000,a projected variable cost per unit of $12,and a projected present value break-even point of 6,000 units. What is the operating cash flow at this level of output?

• A) $2,000
• B) $10,000
• C) $20,000
• D) $30,000
• E) $120,000

---

Definitions:

Executive Summary

A concise document summarizing the key points of a more extensive business report or proposal.

Marketing Plan

A marketing plan outlines an organization's strategy for promoting its products or services, including target market analysis, marketing objectives, and specific campaigns or actions.

Situation Analysis

An assessment process that involves evaluating the internal and external factors affecting an organization's performance to identify potential opportunities and threats.

Internal Environment

Refers to the conditions, entities, events, and factors within an organization that influence its activities and choices, including its employees, management, corporate culture, and internal processes.