Match the following terms (a-e) with their definitions.
-The relative distribution of sales among products sold by a company
A)Profit-volume chart
B)Cost-volume-profit chart
C)Sales mix
D)Operating leverage
E)Margin of safety

Question

Quizplus · Accepted Answer

The term that matches the definition of "The relative distribution of sales among products sold by a company" is Sales mix. The other terms have different definitions: 
A) Profit-volume chart: A graph that shows the relationship between a company's revenue, costs, and profit at different levels of sales volume. 
B) Cost-volume-profit chart: A graph that shows the relationship between a company's revenue, costs, and profit at different levels of sales volume, but also takes into account the company's fixed and variable costs. 
D) Operating leverage: A measure of how sensitive a company's profits are to changes in its sales volume. 
E) Margin of safety: The amount by which actual or expected sales exceed the break-even point for a product or service.

Match the Following Terms (A-E) with Their Definitions