Grown Industries reported the following items for 2016:

Income tax expense $ 60,000
Contribution margin 200,000
Controllable fixed costs 80,000
Interest expense 40,000
Total operating assets 650,000
How much is controllable margin?

a) $60,000
b) $20,000
c) $120,000
d) $200,000

Answer: c) $120,000

Business

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