ECONOMICS

Detailed explanation-1: -Question: Non-financial information that management might evaluate in making a decision would not include contribution margin. (b) False.

Detailed explanation-2: -Non-financial information is often used for policy decision making and providing information to help in the allocation of resources across the private business. It is also a key aspect of private accountability for the activities of private business.

Detailed explanation-3: -Non-financial information is often defined as Environmental, Social, and Corporate Governance (ESG) information, referring to the three central components in measuring the sustainability and societal impact of a company.

Detailed explanation-4: -Non-financial data can include any type of data reported by the company, other than their finances. Factors like organizational culture or the company’s environmental impact are both examples of non-financial data.

Detailed explanation-5: -Contribution margin is helpful for determining how sales, variable costs, and fixed costs all influence operating profit. It gives business owners a way of assessing how various sales levels will affect profitability.