Contribution Margin Divided by Sales Equals Contribution Margin Ratio

question 76

True/False

Contribution margin divided by sales equals contribution margin ratio.

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Definitions:

Indemnity

A security or protection against a financial liability or loss.

Disability Insurance

A type of insurance policy providing income in the event a worker is unable to perform their job due to disability.

Contract

A legally binding agreement between two or more parties that is enforceable by law.

Mutual Consideration

The reciprocal exchange of value or promises within a contract, where each party agrees to give up something in return for receiving something else of value.