Bassman Company Operates on a Contribution Margin of 30% and Currently

question 88

Multiple Choice

Bassman Company operates on a contribution margin of 30% and currently has fixed costs of $400,000. Next year, sales are projected to be $2,000,000. An advertising campaign is being evaluated that costs an additional $60,000. How much would sales have to increase to justify the additional expenditure?

• A)$120,000
• B)$180,000
• C)$200,000
• D)$600,000

---

Definitions:

Portable Personal Identity

An individual's sense of self that is consistent and carried with them across different social contexts and interactions.

Geographically Fixed

Referring to entities, phenomena, or activities that are stationary and tied to a specific physical location.

Secularisation

The process by which religious institutions, practices, and beliefs lose their social significance.

Mobilisation

The act of assembling and readying resources, groups, or individuals for action, especially in contexts of activism, military engagement, or emergency response.