If Sales Are $200,000, Variable Costs Are 56% of Sales

question 47

Multiple Choice

If sales are $200,000, variable costs are 56% of sales, and operating income is $30,000, what is the contribution margin ratio?

• A) 42%
• B) 37%
• C) 44%
• D) 15%

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Definitions:

Axon

Root, or single fiber, of a neuron that carries messages to other neurons.

Voltage Difference

The measure of electrical potential between two points, which drives the flow of electrons or current in a circuit.

Cell Membrane

The biological membrane that separates the interior of all cells from the outside environment, providing structural support and controlling the movement of substances in and out of cells.

Microelectrode

A microscopic insulated wire or a saltwater-filled glass tube whose uninsulated tip is used to stimulate or record from neurons.