Steamroller Company sells two products-J and B.Steamroller predicts that it will sell 7400 units of J and 6500 units of B in the next period.The unit contribution margins are $2.90 and $6.30 for products J and B,respectively.What is the weighted-average unit contribution margin? (Round your answer to the nearest cent.)
A) $4.60
B) $1.54
C) $2.95
D) $4.49

Question

Quizplus · Accepted Answer

Weighted contribution = (7400 × $2.90) + (6500 × $6.30) = $62,410
Weights = 7400 units + 6500 units = 13,900 units
Weighted-average contribution margin per unit 11ea8873_d527_246c_bb89_e356f19412df_TB5026_00

Steamroller Company Sells Two Products-J and B