Question: Exercise 5-4 Computing and Using the CM Ratio [LO3] Last month when Harrison Creations, Inc., sold 40,000 units, total sales were $288,000, total variable expenses

Exercise 5-4 Computing and Using the CM Ratio [LO3]

Last month when Harrison Creations, Inc., sold 40,000 units, total sales were $288,000, total variable expenses were $227,520, and fixed expenses were $35,800.

Required:
1.	What is the companys contribution margin (CM) ratio? (Omit the "%" sign in your response.)

Contribution margin ratio

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