Question
Chad's Chocolates produces premium chocolate candy. Chad's produces and sells 20,000 boxes of a special collection of chocolates that sell for $60 a box. Costs
Chad's Chocolates produces premium chocolate candy. Chad's produces and sells 20,000 boxes of a special collection of chocolates that sell for $60 a box. Costs for producing and selling a box of the chocolates are as follows:
| Direct Material | $21 |
| Direct Labor | $14 |
| MOH, variable | $ 3 |
| Variable S, G, & A | $ 5 |
| MOH, fixed | $ 7 |
| Fixed S, G, & A | $ 2 |
What is the contribution margin per unit for a box of chocolates?
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Cornerstones Of Cost Management
Authors: Don R. Hansen, Maryanne M. Mowen
3rd Edition
9781305147102, 1285751787, 1305147103, 978-1285751788
