Tidy Turf, Inc Calculate the Contribution Margin and the Contribution Margin Ratio

question 99

Multiple Choice

Tidy Turf, Inc. provides housekeeping services. The following financial data have been provided. $$\begin{array} { | l | r | } \hline \text { Service Revenue } & \$ 60,000 \\\hline \text { Cleaning Supplies Used } & 21,000 \\\hline \text { Wages Expense } & 20,350 \\\hline \text { Office Rent Expense } & 5350 \\\hline \text { Depreciation Expense- } & \\\text { Machinery } & 550 \\\hline\end{array}$$ Calculate the contribution margin and the contribution margin ratio. (Round your contribution margin to the nearest dollar, and your contribution margin ratio to two decimal places.)

• A) $54,650; 91.08%
• B) $39,650; 66.08%
• C) $12,750; 21.25%
• D) $18,650; 31.08%

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Definitions:

Kurt Lewin's Change Model

A framework that describes organizational change through three steps: unfreezing, changing, and refreezing, emphasizing the importance of preparedness and support during transitions.

Wellness Programs

Initiatives or benefits provided by an organization aimed at promoting the health and well-being of its employees.

Organization Development

A planned, systemic approach to improving the effectiveness of an organization through interventions in its processes, structure, and culture.

Intervention

A strategic action or process designed to modify the status quo or facilitate change, often used in the contexts of health, education, and organizational development.