Martin Enterprises provides the following information about its single product

Targeted operating income $50,830
Selling price per unit $6.55
Variable cost per unit $4.25
Total fixed cost $94,070

What is the contribution margin per unit?
A) $0.35
B) $10.80
C) $2.30
D) $4.25

C
Explanation: C)
Sales $6.55
Less Variable costs 4.25
= Contribution Margin $2.30

Business

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