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The Selling Price for the Handmade Sweater Sold at the Village

Question 60

Multiple Choice

The selling price for the handmade sweater sold at the Village Boutique is $80.The cost of the materials and labour used to make the sweater are $28.25.The store's owner pays $500 a month in rent and has other monthly fixed costs that average $175.Calculate its percent contribution margin.


A) 15.88 percent
B) 62.33 percent
C) 42.50 percent
D) 64.68 percent
E) 75 percent

Correct Answer:

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