Asked by Henil Deepak Patel on Jun 19, 2024

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Countdown Inc.sold 17,000 units of its product at a price of $81 per unit.Total variable cost per unit is $72.09,consisting of $69.05 in variable production cost and $3.04 in variable selling and administrative cost.Compute the total contribution margin.

Contribution Margin

Contribution margin is the revenue remaining after deducting variable costs, used to cover fixed costs and profit.

Variable Cost

Costs that change in proportion to the level of goods or services that a business produces.

  • Perform computations and analyses on manufacturing, contribution, and gross margins for decision-making purposes.
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IV
International VidyarthiJun 20, 2024
Final Answer :
$81.00 - $72.09 = $8.91 × 17,000 units = $151,470