Paney Company makes calendars.Information on cost per unit is as follows:

- Fixed marketing expense totaled $13,000 and fixed administrative expense totaled $35,000.The price per calendar is $10.What is the contribution margin ratio?

A) 36%
B) 40%
C) 50%
D) 60%
E) 44%

Question

Paney Company makes calendars.Information on cost per unit is as follows:

-  Fixed marketing expense totaled $13,000 and fixed administrative expense totaled $35,000.The price per calendar is $10.What is the contribution margin ratio?
 
A) 36% 
B) 40% 
C) 50% 
D) 60% 
E) 44%

Quizplus · Accepted Answer

$6 / $10 = 60%

Paney Company Makes Calendars