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QS 19-10 Computing contribution margin LO P2 DSouza Company sold 10,000 units of its product at a price of $80 per unit. Total variable cost
QS 19-10 Computing contribution margin LO P2 DSouza Company sold 10,000 units of its product at a price of $80 per unit. Total variable cost is $50 per unit, consisting of $40 in variable production cost and $10 in variable selling and administrative cost. Compute the contribution margin for this company.
QS 19-10 Computing contribution margin LO P2 D'Souza Company sold 10,000 units of its product at a price of $80 per unit. Total variable cost is $50 per unit, consisting of $40 in variable production cost and $10 in variable selling and administrative cost. Compute the contribution margin for this company. $ per unit $ 80.00 Total $ 800,000 D'SOUZA COMPANY Contribution Margin Units Sales 10,000 Less: Variable product cost 10,000 Variable selling and administrative cost 10,000 0 Contribution margin $ $ $ 40.00 10.00 50.00 400,000 100,000 $ 300,000Step by Step Solution
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