Question: The contribution margin indicates the possible decrease in sales that may occur before an operating loss results. 2. Vigor Inc., estimates to sell 75,000 units
The contribution margin indicates the possible decrease in sales that may occur before an operating loss results. 2. Vigor Inc., estimates to sell 75,000 units of packaged energy drink during the year. Each unit would sell for $10. Variable cost per unit is $7.5. The fixed cost for the year is estimated to be $100,000. The income from operations would be ________. a. $187,500 b. $87,500 c. ($87,500) d. $400,000
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
