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Benoit Company produces three products, A, B, and C. Data concerning the three products follow (per unit): Product Selling price $ 85 $ 65 $75
Benoit Company produces three products, A, B, and C. Data concerning the three products follow (per unit): Product Selling price $ 85 $ 65 $75 Variable expenses Direct materials 25.50 19.50 5.25 Other variable expenses Total variable expenses Contribution margin Contribution margin ratio 25.50 51.00 $34.00 29.25 48.75 $16.25 47.25 52.50 $22.50 40% 25% 30% Demand for the company's products is very strong, with far more orders each month than the company can produce with the available raw materials. The same material is used in each product. The material costs $6 per pound with a maximum of 5,400 pounds available each month Required: a. Compute contribution margin per pound of materials used. (Round your intermediate calculations and final answers to 2 decimal places.) Contribution Margin per Pound Product A Product B Product C
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