Desjardin's makes power tools. The budgeted sales are $550,000, budgeted variable costs are $230,000, and budgeted fixed costs are $227,500.
-Refer to the Figure.What is the contribution margin?

Name: Desjardin's makes power tools. The budgeted sales are $550,000, budgeted variable costs are $230,000, and budgeted fixed costs are $227,500. -Refer to the Figure.What is the contribution margin?
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The contribution margin is calculated as Sales - Variable Costs. Therefore, $550,000 - $230,000 = $320,000.

Desjardin's Makes Power Tools