Wayans Company Has a Contribution Margin Ratio of 60

question 11

True/False

Wayans Company has a contribution margin ratio of 60%.This means that its variable costs are 60% of sales.

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Definitions:

Types Of Earnings

Types of earnings refer to the various measures of income a company generates, such as net income, operating income, and earnings before interest and taxes (EBIT).

Unearned Rent

Income received by a landlord for which the services (use of property) have not yet been provided.

Notes Payable

A financial obligation or loan documented by a written promissory note, specifying the terms of repayment.

Mortgage Payable

A long-term liability account that records the amount owed on a property mortgage.