Perfect Clean,Inc Calculate the Contribution Margin and the Contribution Margin Ratio

question 102

Multiple Choice

Perfect Clean,Inc.provides housekeeping services.The following financial data have been provided. $$\begin{array} { | l | r | } \hline \text { Service Revenue } & \$ 80,000 \\\hline \text { Cleaning Supplies Used } & 22,000 \\\hline \text { Wages Expense } & 19,350 \\\hline \text { Office Rent Expense } & 5,150 \\\hline \text { Depreciation Expense- } & \\\text { Machinery } & 550 \\\hline\end{array}$$ 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)$74,850; 93.56%
• B)$60,650; 75.81%
• C)$32,950; 41.19%
• D)$38,650; 48.31%

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Definitions:

External Factors

Variables outside an individual or system that can affect its performance or behavior, such as socio-economic conditions, environmental changes, and technological advancements.

Internal Factors

Elements or forces within an individual or organization that affect behavior, decisions, and performance.

Companionate Love

A deep, affectionate attachment we feel for those with whom our lives are intertwined, characterized by mutual respect, affection, and long-term commitment.

Passionate Love

Passionate love is an intense emotional state characterized by romantic attraction, physical desire, and engagement that often initiates relationships.