What does contribution margin represent? Question 18 options: A) The sum of cost of goods sold and variable expenses B) What remains from total sales after deducting cost of goods sold C) What remains from total sales after deducting fixed expenses D) What remains from total sales after deducting all variable expenses
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'8_ The difference between total sales in dollars and total cost of goods sold is called: A: net operating income. B net profit: C. the gross margin_ D. the contribution margin.'
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Contribution margin is a. computed as profit minus fixed costs. b. the same as sales revenue. c. computed as sales minus variable costs. d. computed as sales minus fixed costs.
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During March, a firm expects its total sales to be $160,000, its total variable costs to be $95,000, and its total fixed costs to be $25,000. The contribution margin for March is: a. $65,000. b. $90,000. c. $120,000. d. $40,000. e. $25,000.
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Horngren’s Cost Accounting
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