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bernie2981 bernie2981
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8 years ago
Fiesta Supply Company compiled the following data in order to assess the weighted average contribution margin per unit of two of the company's best-selling party items; the dome tent and the portable gazebo.

1.   What is the contribution margin of the dome tent?
2.   What is the weighted-average contribution margin per unit?

   Dome Tent   Portable Gazebo   Total
Sales price per unit   $750   $1,000   
Variable cost per unit   $530   $775   
Contribution margin per unit   $220   $225   
Specific sales mix   ×4   ×2   6
Contribution margin   $   $450   $1,330
Weighted-average contribution margin per unit         $

A) $880; $221.67
B) $530; $1,330
C) $389; $6
D) $775; $220
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Managerial Accounting

Managerial Accounting


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nucleinuclei
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8 years ago
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bernie2981 Author
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8 years ago
Wow! Thank you
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