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Problem: Module 5 Textbook Problem 5 Learning Objective: 5-5 Prepare an income statement using the contribution margin opproach Estrada Corporation produced 216,000 watches that it sold for $20 each. The company determined that fixed manufacturing cost per unit was $8 per watch. The company reported a $1,512,000 gross margin on its financial statements. Required Determine the variable cost per unit, the total variable product cost, and the total contribution margin Answer is complete but not entirely correct