Question: Need help trying to answer the questions below the table? I understand that to get: Contribution Margin = Sales Price per unit - Variable Cost
Need help trying to answer the questions below the table?
I understand that to get: Contribution Margin = Sales Price per unit - Variable Cost per unit ... but what is meant by the "cost-volume-profit analysis"??
Contribution Margin
|
|
|
|
|
|
|
|
| Contribution Margin Analysis |
| |||||
|
|
|
|
|
|
|
|
|
|
| |||||
| COLLARS | LEASHES | HARNESSES |
| |||
|
|
| |||||
| Sales Price per Unit | $ 20.00 | $ 22.00 | $ 25.00 |
| ||
| Variable Cost per Unit | 9.10 | 12.10 | 14.60 |
| ||
|
|
| |||||
| Contribution Margin | $ 10.90 | $ 9.90 | $ 10.40 |
| ||
|
|
| |||||
|
|
|
|
|
|
|
|
[Share and explain your contribution margin per unit. How did you arrive at these numbers? Be sure to reference your cost-volume-profit analysis in your defense.]
Thanks in advance for any help you can provide!!
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
