A company's contribution margin per unit is $25. If the company increases its activity level from 200 units to 350 units, how much will its total contribution margin increase? a. $1,250 O b. $8,750 Oc $3,750 O d. $5,000

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 4MC: A companys contribution margin per unit is $25. It the company increases its activity level from 200...
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A company's contribution margin per unit is $25. If the company increases its activity level from 200 units to
350 units, how much will its total contribution margin increase?
a. $1,250
O b. $8,750
OC $3,750
O d. $5,000
Transcribed Image Text:A company's contribution margin per unit is $25. If the company increases its activity level from 200 units to 350 units, how much will its total contribution margin increase? a. $1,250 O b. $8,750 OC $3,750 O d. $5,000
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