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Orion Company sells several products. Information of average revenue and costs is as follows: Selling price per unit $23 Variable costs per unit: Direct material

Orion Company sells several products. Information of average revenue and costs is as follows:

Selling price per unit $23

Variable costs per unit:

Direct material $4

Direct manufacturing labor $1.70

Manufacturing overhead $0.40

Selling costs $2

Annual fixed costs $100,000

The company sells 12,000 units at the end of the year.

If direct labor and direct material costs increase by $1 each, contribution margin ________.

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