Question: KLM Pty Ltd is a company producing microfibre textile products These products are divided into three categories with the following details Towels Clothing Homewares Expected

KLM Pty Ltd is a company producing microfibre textile products These products are divided into three categories with the following details Towels Clothing Homewares Expected total units 150.000 600.000 250.000 Sales Revenue per Unit $40 $20 $50 Variable Cost per Unit $10 $16 $40 Fixed costs in the business relate to salaries and wages and depreciation and come to $980.000 The business is interested in analysing several potential outcomes based on the above information a) Based on the above information, calculate the contribution margin per unit for each product. Fill in the appropriate squares. Towels Clothing fomewares Contribution Margin per Unit (3 items! b) Based on the above information, compute the weighted average contribution margin (WACM) for the three products in their expected mix. Enter the WACM in the box below. Working Space
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