Blistre Company Operates on a Contribution Margin of 20% and Currently

question 25

Multiple Choice

Blistre Company operates on a contribution margin of 20% and currently has fixed costs of $500,000.Next year,sales are projected to be $3,000,000.An advertising campaign is being evaluated that costs an additional $80,000.How much would sales have to increase to justify the additional expenditure?

• A) $320,000
• B) $380,000
• C) $400,000
• D) $600,000

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Definitions:

Sertoli Cell

A type of somatic cell found within the seminiferous tubules of the testis that supports and nourishes developing sperm cells.

Zona Pellucida

The zona pellucida is a glycoprotein layer surrounding the plasma membrane of an oocyte or early-stage embryo, playing a crucial role in fertilization and preventing polyspermy.

Effaced

In medical terms, often relates to the thinning and stretching of the cervix in preparation for childbirth; in a general context, it can mean erased or made less clear.

Cervix

The lower, narrow part of the uterus that connects to the vagina, playing key roles in childbirth and menstrual flow.