EJL Herbal Remedies sells several products for an average price of $17 per unit. Average variable costs per unit are as follows:
EJL's annual fixed costs total $82,500.
-The contribution margin per unit is:
A)$7.50.
B)$10.50.
C)$12.
D)$14.

Question

EJL Herbal Remedies sells several products for an average price of $17 per unit. Average variable costs per unit are as follows:  
EJL's annual fixed costs total $82,500.
-The contribution margin per unit is:
A)$7.50. 
B)$10.50. 
C)$12. 
D)$14.

Quizplus · Accepted Answer

A)$17.00 - ($5.00 + $1.00 + $0.50 + $3.00)= $7.50

EJL Herbal Remedies Sells Several Products for an Average Price