Ivanhoe's Water World is distributing replacement water coolers in the Montreal area for $$160$ per cooler. Ivanhoe's

fixed costs are equal to $$65,875$ per month, and the Ivanhoe's accounting staff has calculated the monthly break$-$even in

units to be $775.$

$($a$)$

$6$ Your answer is incorrect.

Given this information, compute the variable cost per unit and the contribution margin per unit.

Variable cost

Contribution margin

$

$

per unit

per unit