Contribution margin Harry Company sells 38,000 units at $11 per unit. Variable costs are $7.59 per unit, and fixed costs are $42,800. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income. a. Contribution margin ratio (Enter as a whole number.) 31 b. Unit contribution margin (Round to the nearest cent.) c. Operating income 3.41 216,360 X % per unit

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Contribution margin
Harry Company sells 38,000 units at $11 per unit. Variable costs are $7.59 per unit, and fixed costs are $42,800.
Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income.
a. Contribution margin ratio (Enter as a whole number.)
31
b. Unit contribution margin (Round to the nearest cent.)
c. Operating income
3.41
216,360 X
%
per unit
Transcribed Image Text:Contribution margin Harry Company sells 38,000 units at $11 per unit. Variable costs are $7.59 per unit, and fixed costs are $42,800. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income. a. Contribution margin ratio (Enter as a whole number.) 31 b. Unit contribution margin (Round to the nearest cent.) c. Operating income 3.41 216,360 X % per unit
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