Refer to Exhibit 6-6. Which of the following is the correct contribution margin per machine hour?

		$12.50
		$6.25
		$0.08
		$0.10
		None of the answer choices is correct.

Exhibit 6-6 Sauer Company sells folding chairs for $40.00 per unit. Variable cost is $15.00 per unit. Each chair requires 4 direct labor hours and 2 machine hours to produce