If Sales Are $525,000, Variable Costs Are 53% of Sales

question 179

Multiple Choice

If sales are $525,000, variable costs are 53% of sales, and operating income is $50,000, what is the contribution margin ratio?

• A) 47%
• B) 26.5%
• C) 9.5%
• D) 53%

Identify the roles and responsibilities of key accounting positions within an organization.

Distinguish between different types of costs (direct materials, direct labor, and factory overhead).

Comprehend the role of managerial accounting in planning, controlling, and decision-making processes.

Appreciate the flexibility and creativity managerial accounting offers in internal decision-making.

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