Multiple Choice
Toby's Farm Store buys portable generators for $500 and sells them for $800.He pays a sales commission of 5% of sales revenue to his sales staff.Toby pays $2,000 a month rent for his store,and also pays $1,800 a month to his staff in addition to the commissions.Toby sold 200 generators in June.
-If Toby prepares a contribution margin income statement for the month of June,what would be his contribution margin?
A) $268,000
B) $160,000
C) $52,000
D) $108,000
Correct Answer:

Verified
Correct Answer:
Verified
Q246: If inventory has grown,operating income will
Q247: Total fixed costs change in response
Q248: Total mixed cost graphs slope upward,but
Q249: Managers often approximate curvilinear costs and
Q250: Ricco was reviewing the water bill
Q252: Traditional income statements are organized by
Q253: On a contribution margin income statement,sales
Q254: Under absorption costing,variable manufacturing costs are
Q255: The cost equation determined by regression
Q256: Which of the following equations represents