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ABC Company makes and sells two types of shoes, Classic-A and Classic-B. Data concerning these products are as follows: Classic-A Classic-B Unit selling price $35

ABC Company makes and sells two types of shoes, Classic-A and Classic-B. Data concerning these products are as follows:

Classic-A Classic-B

Unit selling price $35 $20

Variable cost per unit $24.5 $12

Break-even point in units= 5,000 units, annual fixed cost is $100,000, total number of units (including Classic-A and Classic-B) is 100. The total contribution margin is:

Select one:

a.$2,000

b.$3,000

c.$10,000

d.$4,000

e.$1,000

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