Accounting 2 Multiple Choice

Kent Manufacturing produces a product that sells for $6700 and has variable costs of $39.00 per unit. Fixed costs are $350,000 Kent can buy a new production machine that will increase foxed costs by $20,600 per year but will decrease variable costs by $6.00 per unit Compute the contribution margin per unit if the machine is purchased O $22.00. O $39.50. O $34.00 O O $45.00. O $28.00