Question
Product A Product B Selling price per unit $ 20 $ 15 Variable cost per unit 12 9 Contribution margin per unit $ 8 $
| Product A | Product B | |||
|---|---|---|---|---|
| Selling price per unit | $ 20 | $ 15 | ||
| Variable cost per unit | 12 | 9 | ||
| Contribution margin per unit | $ 8 | $ 6 | ||
| Labor time | 4 | minutes | 2 | minutes |
Roberto, Incorporated manufactures products A and B. Both products have a contribution margin ratio of 40%. What is the contribution margin per unit of the constrained resource for product B, if labor time is the constrained resource?
multiple choice
$2 per minute
$3 per minute
$6 per minute
$8 per minute
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Fraud Examination Investigative And Audit Procedures
Authors: Joseph T. Wells
1st Edition
089930639X, 978-0899306391
