Using the Method of Comparing Times to Get a Handle

question 17

Essay

Using the method of comparing times to get a handle on the large distances in astronomy, compare the size of Earth to the size of the visible universe. Start by making the size of the Earth comparable to a snap of your fingers, which lasts about 1/7 seconds. Show your computation.

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Definitions:

Common Fixed Expense

Costs that do not vary with production volume, and are shared among different products or business segments.

Contribution Margin Ratio

The portion of sales revenue left over after variable expenses have been deducted, expressed as a percentage of sales revenue.

Variable Expenses

Costs that vary in direct proportion to changes in an activity level or volume, such as raw materials and direct labor.

Sales

Sales refer to the revenue generated from the exchange of goods or services for money or other assets between a seller and a buyer.