East Company manufactures and sells a single product with a positive contribution margin.If the selling price and the variable cost per unit both increase 5% and fixed costs do not change,what is the effect on the contribution margin per unit and the contribution margin ratio?
A)Option A
B)Option B
C)Option C
D)Option D

Question

East Company manufactures and sells a single product with a positive contribution margin.If the selling price and the variable cost per unit both increase 5% and fixed costs do not change,what is the effect on the contribution margin per unit and the contribution margin ratio? 
A)Option A 
B)Option B 
C)Option C 
D)Option D

Quizplus · Accepted Answer

The Answer of East Company manufactures and sells a single product with a positive contribution margin.If the selling price and the variable cost per unit both increase 5% and fixed costs do not change,what is the effect on the contribution margin per unit and the contribution margin ratio? 
A)Option A 
B)Option B 
C)Option C 
D)Option D

East Company Manufactures and Sells a Single Product with a Positive