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2) Fixed cost-20,000$ Variable cost per unit of production=500$ Number of items sold= 1000 price=800$ a) What is contribution margin and contribution margin ratio
2) Fixed cost-20,000$ Variable cost per unit of production=500$ Number of items sold= 1000 price=800$ a) What is contribution margin and contribution margin ratio and how do you interpret it? b) What is BEP quantity and $ sold? Explain what do the numbers mean? (Mark:20)
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