Clipper Company sells two types of nail clippers. One focuses on the economy oriented customer and the other aims to satisfy the high-end clientele. The economy clipper cost $4 and has a sales price of $9. The high-end model costs $8 and sells for $13. Fixed costs associated with this product line amount to $66,120. Economy clippers constitute 70 percent of the market with the remaining 30 percent being high-end clippers. Based on this information what is the weighted average contribution margin?

Multiple Choice

$6.50

$5.50

$5.00

$1.00