The Wilson Company manufactures and sells speakers. Each speaker sells for $85.50 and the variable cost per unit is $51.30. Wilson's total fixed costs are $42,000, and budgeted sales are 1,500 units. What is the contribution margin per unit?

Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter7: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 58P: Polaris Inc. manufactures two types of metal stampings for the automobile industry: door handles and...
icon
Related questions
Question

What is the contribution margin per unit?? Accounting

The Wilson Company manufactures and sells speakers. Each
speaker sells for $85.50 and the variable cost per unit is
$51.30. Wilson's total fixed costs are $42,000, and budgeted
sales are 1,500 units.
What is the contribution margin per unit?
Transcribed Image Text:The Wilson Company manufactures and sells speakers. Each speaker sells for $85.50 and the variable cost per unit is $51.30. Wilson's total fixed costs are $42,000, and budgeted sales are 1,500 units. What is the contribution margin per unit?
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer