Reggie Industries sells mugs that have a sales price of ₱12.50 and a contribution margin ratio of 40%. Variable costs are expected to increase by ₱1.25 a unit next year. The sales price will be increased by 10% to help offset this increase. Fixed costs will remain the same at ₱60,000. What are the new contribution margin and breakeven point?

Answer rating: 100% (QA)

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