The Wilson Electronics produces calculators. Each calculator sells for $45.00 and has variable costs of $28.50 per unit. Wilson's total fixed costs are $42,000, and they plan to sell 5,000 units. What is the contribution margin per unit?

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter16: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 11E
icon
Related questions
Question

The wilson electronic produce solution general accounting question

The Wilson Electronics produces calculators. Each calculator sells for
$45.00 and has variable costs of $28.50 per unit. Wilson's total fixed
costs are $42,000, and they plan to sell 5,000 units. What is the
contribution margin per unit?
Transcribed Image Text:The Wilson Electronics produces calculators. Each calculator sells for $45.00 and has variable costs of $28.50 per unit. Wilson's total fixed costs are $42,000, and they plan to sell 5,000 units. What is the contribution margin per unit?
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Cornerstones of Cost Management (Cornerstones Ser…
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning