A major advantage of the percentage variable contribution margin (PVCM) approach over a full cost approach is that it allows a marketer to:
A) know the incremental value of a sale.
B) calculate the incremental value of directing additional resources to a particular service line.
C) estimate the dollars generated to overhead from one more unit of business.
D) provide an estimate of fixed costs covered and indirect costs that can be covered with one more dollar in sales gained for a unit of investment.

Question

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The Answer of A major advantage of the percentage variable contribution margin (PVCM) approach over a full cost approach is that it allows a marketer to:
A) know the incremental value of a sale.
B) calculate the incremental value of directing additional resources to a particular service line.
C) estimate the dollars generated to overhead from one more unit of business.
D) provide an estimate of fixed costs covered and indirect costs that can be covered with one more dollar in sales gained for a unit of investment.

A Major Advantage of the Percentage Variable Contribution Margin (PVCM)