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help with A please! The operating revenwes of the three largest business segments for Time Warner, Inc, for a recent year follow. Each segment indudes
help with A please!
The operating revenwes of the three largest business segments for Time Warner, Inc, for a recent year follow. Each segment indudes a number of businesses, examples of which are indicated in parentheses. Assume that the variable costs as a percent of sales for each segment are as follows: a. Determine the contribution margin and contribution margin ratio for each segment from the information given. When required, round to the nearest whole millionth (for example, round 5,688.7 to 5,689 ). Round contribution margin ratio to whole percents for cach segment from the information given. b. Does your answer to (a) mean that the other segments are more profitable businesses? The higher contrituition margin ratio of a segment should not be interpreted as being the profitable segment. If the volume of business is not sufficient to exceed the break-even poirt, then the segrents would be: VI in the final analysis, the fixed costs also should be considered in determining the overall proftanity of the seoments. The V shows how sensitive the profit will be to changes in volume Step by Step Solution
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