The net income using the contribution approach for the first quarter is?
A) $44,000.
B) $128,000.
C) $152,000.
D) $240,000.

Question

Quizplus · Accepted Answer

The contribution approach calculates net income by deducting variable costs and fixed costs from sales revenue. In this case, sales revenue is $240,000, variable costs are $96,000, and fixed costs are $44,000. Therefore, net income is $240,000 - $96,000 - $44,000 = $100,000.

The Net Income Using the Contribution Approach for the First