If Sales Total $2,000,000, Fixed Costs Total $800,000, and Variable

question 178

True/False

If sales total $2,000,000, fixed costs total $800,000, and variable costs are 60% of sales, the contribution margin ratio is 40%.

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Definitions:

Bile

A digestive fluid produced by the liver, stored in the gallbladder, and secreted into the small intestine to aid in the digestion and absorption of fats.

Digestive System

The complex series of organs and glands responsible for the digestion and absorption of nutrients, as well as the elimination of waste products.

Bolus

A tiny ball-shaped lump of material, particularly of food chewed right before it's swallowed.

Esophagus

The muscular tube that connects the throat (pharynx) with the stomach, conveying food and liquids.