United Merchants Company sells 19,000 units at $16 per unit. Variable costs are $10.72 per unit, and fixed costs are $59,200. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income. X % a. Contribution margin ratio (Enter as a whole number.) b. Unit contribution margin (Round to the nearest cent.) c. Operating income 100,320 X per unit
United Merchants Company sells 19,000 units at $16 per unit. Variable costs are $10.72 per unit, and fixed costs are $59,200. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income. X % a. Contribution margin ratio (Enter as a whole number.) b. Unit contribution margin (Round to the nearest cent.) c. Operating income 100,320 X per unit
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Contribution Margin:
United Merchants Company sells 19,000 units at $16 per unit. Variable costs are $10.72 per unit, and fixed costs are $59,200.
Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income.
a. Contribution margin ratio (Enter as a whole number.)
b. Unit contribution margin (Round to the nearest cent.)
c. Operating income
X %
100,320 X per unit
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