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eyPLUS Kimmel, Accounting, to Assignment Gradebook ORION Downloadable Textbook R

ID: 2599520 • Letter: E

Question

eyPLUS Kimmel, Accounting, to Assignment Gradebook ORION Downloadable Textbook Read, Study & Practice n? Open Assignment TIMER Start Time: 05:16 PM / Remaining: 78 min. ENT RESOURCES o!Exam#3 on 1 on 2 Question 1 A division sold 150000 calculators during 2017: Sales Varlable costs: $1500000 on 4 Materials Order processing Billing labor Selling expenses Total variable costs $285000 112500 82500 45000 525000 on 10 ion 11 12 Fixed costs i2n How much is the unit contribution margin? 14 ion 15 tion 16 ion O $1 O $3.5 O $10.2 O $6.5 Click if you would like to Show Work for this question: tion 18 tion 19 tion 20 Open Show Work tion 26 tion22 stion 28 I e 2000-2017 John Wiley &Sons;, Inc, Al Rights Reserved. A Division of lohn Wiley & Sons. Inc

Explanation / Answer

Total contribution

= Sales – Variable costs

= $1,500,000 - $525,000

= $ 975,000

So, unit contribution margin

= Total contribution / Number of units

= $975,000 / 150,000

= $6.5 per unit

So, option D is the correct option