Brief Exercise 19-7 NoFly Corporation sells three different models of a mosquito

Question

Brief Exercise 19-7 NoFly Corporation sells three different models of a mosquito "zapper." Model A12 sells for $60 and has variable costs of $44. Model B22 sells for $109 and has variable costs of $81. Model C124 sells for $416 and has variable costs of S319. The sales mix of the three models is A12, 57%; B22, 30%, and C124, 13%. What is the weighted-average unit contribution margin? (Round answer to 2 decimal places, e.g. 15.50.) Weighted-Average Unit Contribution Margin Click if you would like to Show Work for this question: Open Show Work ueatonAtempts: 0 of 15 used GAVE FOR LATER SUBMIT ANSWER SUBMIT ANSWER

Explanation / Answer

Hence weighted Contribution margin=RespectiveContribution margin*Respective weights

=(16*0.57)+(28*0.3)+(97*0.13)

which is equal to

=$30.13

Contribution margin(Sales-Variable costs) A12 (60-44)=$16 B22 (109-81)=$28 C124 (416-319)=$97

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