Asked by
Calynn Drobac
on Dec 14, 2024Verified
________ the reward to a business firm for the risk it undertakes in marketing its offerings.
A) Shareholders' equity is
B) Profit is
C) Assets are
D) Contribution margin is
E) Goodwill is
Contribution Margin
The amount by which a product's sales revenue exceeds its variable costs, indicating how much contributes to covering fixed costs and generating profit.
Shareholders' Equity
The residual interest in the assets of a corporation after deducting its liabilities; also known as stockholders' equity, representing the owners' equity in the company.
- Understand the concept of profit and how it is calculated.
Verified Answer
LW
Learning Objectives
- Understand the concept of profit and how it is calculated.