Herman Loebl Company,a producer of salsa,has the following information:
$\begin{array}{ll}
\text { Income tax rate } & 30 \% \
\text { Selling price per unit } & \$ 8.00 \
\text { Variable cost per unit } & \$ 3.00 \
\text { Total fixed costs } & \$ 90,000.00
\end{array}$
The contribution margin per unit is ________.
A) $2.00
B) $3.00
C) $5.00
D) $8.00

Question

Quizplus · Accepted Answer

The contribution margin per unit is calculated as the selling price per unit minus the variable cost per unit, which is $8.00 - $3.00 = $5.00.

Herman Loebl Company,a Producer of Salsa,has the Following Information The Contribution Margin Per Unit Is ________