Using the Contribution Margin Approach,find the Contribution Margin Ratio for Consumer

question 83

Multiple Choice

Using the contribution margin approach,find the contribution margin ratio for Consumer Products if the selling price per unit is $15,the variable cost per unit is $7.50,and the fixed costs are $8,000.

• A)25%
• B)75%
• C)50%
• D)100%

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Definitions:

Non-Operating Gains

Income from activities not related to a company's core operations such as profits from investments, property sales, or currency exchange.

Retirement of Notes Payable

The process of paying off or settling a debt obligation represented by promissory notes.

Cash Flows from Operating Activities

The section of a company's cash flow statement that represents the amount of money a company brings in from its regular business activities.

Depreciation

The accounting method of allocating the cost of a tangible asset over its useful life, representing the asset's wear and tear, deterioration, or obsolescence.