Karen's Cutting Station offers a new concept in haircuts; low cost and very quick. Set in a local mall, Karen's offers 15- minute haircuts for harried shoppers who do not have time for lengthy appointments. To ensure that the clients are in and out quickly, she schedules her 5 employees based on expected client traffic. Each of the employees is paid $1250 per month, with part of their pay coming from client tips. Karen pays rent and overhead costs of $2300 per month on the facility. Because of the quick nature of the service, Karen doesn't have time to clean combs in between clients, so she uses a new comb for each customer, at a cost of $0.65 each. She also provides shampoo and conditioner for each client at a cost of $1.05 per client. The average price for a haircut is $14. Karen pays herself $5400 per month. What is Karen's contribution margin per haircut? $12.30 $12.95 $12.00 $13.35