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A) The contribution margin ratio tells managers -how much contribution margin is generated as a percentage of sales -the total contribution margin earned -the difference

A) The contribution margin ratio tells managers

-how much contribution margin is generated as a percentage of sales

-the total contribution margin earned

-the difference between every dollar of sales and the cost of goods

-how much contribution margin is generated by every dollar of fixed costs

B) At break-even point

- zero contribution margin is earned

-selling price equals variable cost per unit

-zero profit is earned

-contribution margin equals variable costs

C) Costs that do not differ between decision alternatives are called

-differential

-avoidable

-irrelevant

-accounting

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