The following information relates to Paternus Company: Sales revenue$10,000,000 Contribution margin 4,000,000 Net Income 1,000,000 If a manager at Paternus desired to determine the percentage impact on income of a given percentage change in sales, the manager would multiply the percentage increase/decrease in sales revenue by:
A. 4.00.
B. 0.40.
C. 10.00.
D. 0.25.
E. 2.50.
Answer: A
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