Question: Computational activity: Using the case information, compute a manufacturer's contribution margin and net contribution margin as one of the key performance indicators. PLEASE SHOW YOUR
Computational activity: Using the case information, compute a manufacturer's contribution margin and net contribution margin as one of the key performance indicators. PLEASE SHOW YOUR SOLUTION/COMPUTATION
The toothpaste manufacturer produced and sold 200,000 units. The average price of the product sold is Php 50. The total variable cost is equal to 30% of the products' gross sales.
The success of the product can be attributed to trade events, trade promotions, and POS materials, which account for 20% of the contribution margin.
Compute the contribution margin and the net contribution margin based on the information available.
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