Question: Calculate the contribution margin per unit and contribution margin ratio for UVW Company, given the following information: Item Amount ($) Sales Revenue 500,000 Variable Costs

Calculate the contribution margin per unit and contribution margin ratio for UVW Company, given the following information:

Item

Amount ($)

Sales Revenue

500,000

Variable Costs

250,000

Fixed Costs

120,000

Required:

  • Determine the contribution margin per unit.
  • Calculate the contribution margin ratio.

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