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a) NoFly Corporation sells three different models of a mosquito zapper. Model A12 sells for $52 and has variable costs of $37. Model B22 sells

a) NoFly Corporation sells three different models of a mosquito zapper. Model A12 sells for $52 and has variable costs of $37. Model B22 sells for $104 and has variable costs of $80. Model C124 sells for $419 and has variable costs of $310. The sales mix of the three models is A12, 59%; B22, 29%; and C124, 12%. What is the weighted-average unit contribution margin? (Round answer to 2 decimal places, e.g. 15.50.)

Weighted-Average Unit Contribution Margin

b) The Soma Inn is trying to determine its break-even point. The inn has 75 rooms that are rented at $52 a night. Operating costs are as follows.

Salaries $7,200 per month
Utilities 2,000 per month
Depreciation 1,600 per month
Maintenance 900 per month
Maid service 7 per room
Other costs 32 per room

If the inn plans on renting an average of 50 rooms per day (assuming a 30-day month), what is (1) the monthly margin of safety in dollars and (2) the margin of safety ratio?

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