Executive Ambience Company sells desks at $480 per desk. The costs associated with each desk are as follows: $\begin{array}{ll}
\text { Direct materials } & \$ 195 \
\text { Direct labor } & 126 \
\text { Variable factory overhead } & 51
\end{array}$ Total fixed costs for the period are $456,840. The contribution- margin ratio is:
A) 77.5%
B) 40.6%
C) 22.5%
D) 29.0%

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The Answer of Executive Ambience Company sells desks at $480 per desk. The costs associated with each desk are as follows: $\begin{array}{ll}
\text { Direct materials } & \$ 195 \
\text { Direct labor } & 126 \
\text { Variable factory overhead } & 51
\end{array}$ Total fixed costs for the period are $456,840. The contribution- margin ratio is:
A) 77.5%
B) 40.6%
C) 22.5%
D) 29.0%