If the Contribution Margin Ratio for France Company Is 45

question 13

Multiple Choice

If the contribution margin ratio for France Company is 45%, sales were $425,000, and fixed costs were $100,000, what was the income from operations?

• A) $233,750
• B) $91,250
• C) $191,250
• D) $133,750

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Definitions:

Necessary

An essential requirement or condition that must be met or possessed for a particular purpose or outcome.

Enumerated Powers

Specific powers granted to an entity, often a governmental body, explicitly listed in a constitution or similar governing document.

Proper Clause

Likely a mistake for "Necessary and Proper Clause," which grants Congress the power to pass all laws necessary and proper for executing its enumerated powers.

Federal Reserve System

The central banking system of the United States, responsible for the nation's monetary policy and regulation of the banking industry.