GAAP Allows Companies to Use the Contribution Margin Format for External

question 116

True/False

GAAP allows companies to use the contribution margin format for external reporting purposes if they so choose.

---

Definitions:

Labor Force

All the members of a particular organization or population who are able to work, viewed collectively.

Unionized

Describes a workplace or workforce that is represented by one or more labor unions, which negotiate wages, work rules, and working conditions.

Strike

An action of unionized employees in which they (1) discontinue working for the employer and (2) take steps to prevent other potential workers from offering their services to the employer.

Product Market

The marketplace where final goods or services are traded, allowing businesses to sell their products directly to consumers or users.