Molly Company sells 23,000 units at $28 per unit. Variable costs are $21.56 per unit, and fixed costs are $59,200. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income. Line Item Description Answer a. Contribution margin ratio (Enter as a whole number.) fill in the blank 1 % b. Unit contribution margin (Round to the nearest cent.) $fill in the blank 2 per unit c. Operating income
Molly Company sells 23,000 units at $28 per unit. Variable costs are $21.56 per unit, and fixed costs are $59,200. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income. Line Item Description Answer a. Contribution margin ratio (Enter as a whole number.) fill in the blank 1 % b. Unit contribution margin (Round to the nearest cent.) $fill in the blank 2 per unit c. Operating income
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Molly Company sells 23,000 units at $28 per unit. Variable costs are $21.56 per unit, and fixed costs are $59,200.
Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income.
| Line Item Description | Answer |
|---|---|
| a. Contribution margin ratio (Enter as a whole number.) | fill in the blank 1 % |
| b. Unit contribution margin (Round to the nearest cent.) | $fill in the blank 2 per unit |
| c. Operating income |
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