Question: I cannot come up with the correct answers. Please help with explanation. Contribution Margin Willie Company sells 26,000 units at $48 per unit. Variable costs
I cannot come up with the correct answers. Please help with explanation.

Contribution Margin Willie Company sells 26,000 units at $48 per unit. Variable costs are $40.80 per unit, and fixed costs are $89,900. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income. a. Contribution margin ratio (Enter as a whole number.) % b. Unit contribution margin (Round to the nearest cent.) per unit C. Operating income Feedback Check My Work a. Unit contribution margin divided by unit sales price equals contribution margin ratio. b. Unit sales price minus unit variable costs equals unit contribution margin. c. Contribution margin minus fixed costs equals income from operations
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
