Question: Please explain the solution to this general accounting problem using the correct accounting principles. Happy Brews Coffee Shop sells coffee for $4 per cup. Variable

Please explain the solution to this general accounting problem using the correct accounting principles.

Happy Brews Coffee Shop sells coffee for $4 per cup. Variable cost | $1.50 per cup Fixed cost | $3,200 per month What is Happy Brews' contribution margin ratio? A. 62.5% B. 37.5% C. 42.5% D. 73%

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