Sales price Variable costs Fxed Costs Units produced and sold S85 per unit $25 p

Question

Sales price Variable costs Fxed Costs Units produced and sold S85 per unit $25 per unit S10,000 1,250 Refer to Hunter Inc information above If one more unit is sold, net income will O decrease by $33 O increase by $52 O increase by $60 O decrease by S8 QUESTION 44 Hunter Inc sells a unique product with the folowing information available $85 per unit Salas price Varable costs Fixed Costs Units produced and sold $25 per unit 1250 Refer to Hunter Inc information above What is the contibution margin ratio? 041 67% 0240% o 7059% 61 18% Cliek Save and Submit to sae and submit.Cliek Save A Ansuvers to save all ansuers.

Explanation / Answer

1 Net income increase = 85-25 = $60. Option 3 is correct 2 Contribution margin ratio = (85-25)/85= 70.59% Option 3 is correct

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