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Segment Contribution Margin Analysis The operating revenues of the three largest business segments for Time...

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Segment Contribution Margin Analysis The operating revenues of the three largest business segments for Time Warner, Inc. (TWX), for a recent year follow. Each segment includes a number of businesses, examples of which are indicated in parentheses Time Warner, Inc. Segment Revenues (in millions) Turner (cable networks and digital media) $11,364 Home Box Office (pay television) 5,890 Warner Bros. (films, television, and videos) 13,037 Assume that the variable costs as a percent of sales for each segment are as follows: 40% Turner Home Box Office Warner Bros 35% 25% a. Determine the contribution margin and contribution margin ratio. Enter amounts in millions. When required, round to the nearest whole millionth (for example, round 5,688.7 to 5,689). Round contribution margin ratio to the nearest whole percent for each segment from the information given. Turner Home Box Office Warner Bros. Revenues 11,364 5,890 13,037 Variable costs Contribution margin 96 % Contribution margin ratio (as a percent) Previous Next Check My Work Save and Exit Submit Assignment for Grading All work saved 12:19 AM

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