Variable Administrative Expenses Affect the Calculation of ________ on the Contribution

question 91

Multiple Choice

Variable administrative expenses affect the calculation of ________ on the contribution income
Statement.Variable administrative expenses do NOT affect the calculation of ________ on the absorption income statement.

• A) gross margin; contribution margin
• B) contribution margin; gross margin
• C) operating income; contribution margin
• D) gross margin; operating income

---

Definitions:

Nominal

A type of data that represents categories without any intrinsic order or ranking among them.

Level Of Measurement

Refers to the different ways in which variables or data points can be quantitatively and qualitatively categorized.

Frequency Distribution

An overview or tabulation of a dataset that shows the number of individuals or occurrences in each non-overlapping category or class range.

Sample

A subset of individuals or observations selected from a population for the purpose of analysis.