Gibbs Company has a product which sells for $100 and has a unit contribution margin of $45.It has fixed costs of $30/unit at the current production volume.Gibbs Company's contribution margin ratio is:

Name: Gibbs Company has a product which sells for $100 and has a unit contribution margin of $45.It has fixed costs of $30/unit at the current production volume.Gibbs Company's contribution margin ratio is:
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Contribution margin ratio = Contribution margin / Sales price= $45 / $100= 0.45 or 45%

Gibbs Company Has a Product Which Sells for $100 and Has