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Madden Enterprises Sells Two Products, Silver Models and Gold Models

Question 208

Multiple Choice

Madden Enterprises sells two products, Silver models and Gold models. Madden Enterprises predicts that it will sell 5700 Silver models and 3600 Gold models in the next period. The unit contribution margins for Silver models and Gold models are $70 and $130, respectively. What is the weighted average unit contribution margin?


A) $152.11
B) $110.83
C) $93.23
D) $50.32

Correct Answer:

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