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Aaron Corporation, which has only one product, has provided the following data concerning its most recent month of operations: Selling price $ 95 Units in

Aaron Corporation, which has only one product, has provided the following data concerning its most recent month of operations:

Selling price $ 95
Units in beginning inventory 0
Units produced 3,400
Units sold 3,030
Units in ending inventory 370

Variable costs per unit:
Direct materials $ 20
Direct labor $ 34
Variable manufacturing overhead $ 6
Variable selling and administrative expense $ 4
Fixed costs:
Fixed manufacturing overhead $ 64,700
Fixed selling and administrative expense $ 2,800

The total contribution margin for the month under variable costing is:

Multiple Choice

  • $26,430

  • $93,930

  • $29,230

  • $106,050

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