The Unit Contribution Margin Is Computed by

question 238

Multiple Choice

The unit contribution margin is computed by

• A) dividing the variable cost per unit by the sales revenue.
• B) subtracting the sales price per unit from the variable cost per unit.
• C) subtracting the variable cost per unit from the sales price per unit.
• D) dividing the sales revenue by variable cost per unit.

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Definitions:

Marginal Tax Rate

The rate at which the last dollar of income is taxed, indicating the percentage of tax applied to your income for each tax bracket in which you qualify.

Net Investment

The total amount spent on acquiring, maintaining, and improving fixed assets, minus depreciation.

Marginal Tax Rate

The rate at which the last dollar of a taxpayer's income is taxed, indicating the percentage of tax applied to your income for each tax bracket in which you qualify.

Market Value

The current price at which an asset or service can be bought or sold.