Contribution Margin Calculations Multiple Choice Questions (MCQ) PDF Download

MCQ 1: If the gross margin is $2000 and the revenue is $5000, then the cost of goods sold would be

1. −$8000
2. $3,000
3. −$3000
4. $8,000

MCQ 2: The revenue is $11000 and all the variable cost is $6000, then the contribution margin would be

1. −$17000
2. $17,000
3. $5,000
4. −$5000

MCQ 3: If the contribution margin is $3000 and the revenues are $9000, then all the variable costs will be

1. $12,000
2. $6,000
3. −$6000
4. −$12000

MCQ 4: The formula to calculate the contribution margin is

1. revenue - all variable cost
2. revenue + all variable cost
3. cost + revenue
4. revenue - breakeven units

MCQ 5: If the contribution margin is $25000 and the revenues are $60000, then all the variable costs will be

1. −$85000
2. −$35000
3. $85,000
4. $35,000