Asked by Meadow Smith on Apr 27, 2024
Verified
A tile manufacturer has supplied the following data: 
The company's contribution margin ratio is closest to:
A) 42.7%
B) 57.3%
C) 45.8%
D) 21.0%
Contribution Margin Ratio
The percentage of sales revenue that exceeds variable costs, indicating how much of each sales dollar is available to cover fixed costs and generate profit.
Tile Manufacturer
A company that specializes in producing tiles for floors, walls, and other surfaces.
- Master the idea of contribution margin and its implementation in determining break-even points and projected profits.
Verified Answer
ZK
Zybrea KnightMay 04, 2024
Final Answer :
B
Explanation :
The given data does not have any relevance to calculating the contribution margin ratio. Without any other data, we cannot determine the contribution margin ratio of the company.
Learning Objectives
- Master the idea of contribution margin and its implementation in determining break-even points and projected profits.
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