Emeka Company has provided the following information: $$\begin{array} { | l | r | }
\hline \text { Sales price per unit } & \$ 52 \
\hline \text { Variable cost per unit } & 16 \
\hline \text { Fixed costs per month } & \$ 14,000 \
\hline
\end{array}$$ Calculate the contribution margin per unit.

Question

Emeka Company has provided the following information: $$\begin{array} { | l | r | } 
\hline \text { Sales price per unit } & \$ 52 \
\hline \text { Variable cost per unit } & 16 \
\hline \text { Fixed costs per month } & \$ 14,000 \
\hline
\end{array}$$ Calculate the contribution margin per unit.

Quizplus · Accepted Answer

The contribution margin per unit is calculated as the sales price per unit minus the variable cost per unit, which is $52 - $16 = $36.00.

Emeka Company Has Provided the Following Information Calculate the Contribution Margin Per Unit