Padua Corp has sales of $400,000, a variable cost ration of 60%, and a profit of $40,000. If 10,000 units were sold, what is the contribution margin per unit? a. $40.00. b. $24.00. c. $16.00. d. $12.00.
Padua Corp has sales of $400,000, a variable cost ration of 60%, and a profit of $40,000. If 10,000 units were sold, what is the contribution margin per unit? a. $40.00. b. $24.00. c. $16.00. d. $12.00.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Padua Corp has sales of $400,000, a variable cost ration of 60%, and a profit
of $40,000. If 10,000 units were sold, what is the contribution margin per
unit?
a. $40.00.
b. $24.00.
c. $16.00.
d. $12.00.
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