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Required information [The following information applies to the questions displayed below.] Ramort Company reports the following for its single product. Ramort produced and sold
Required information [The following information applies to the questions displayed below.] Ramort Company reports the following for its single product. Ramort produced and sold 21,800 units this year. Direct materials Direct labor Variable overhead Fixed overhead Variable selling and administrative expenses Fixed selling and administrative expenses Sales price $ 19 per unit $ 21 per unit $12 per unit $ 43,600 per year $2 per unit $ 67,000 per year $ 87 per unit Ramort doubles its production from 21,800 to 43,600 units while sales remain at the current 21,800 unit level. (a) Compute contribution margin when production is 43,600 units under variable costing. (b) What is the change in contribution margin by increasing production from 21,800 units to 43,600 units under variable costing? Complete this question by entering your answers in the tabs below. Required A Required B Compute contribution margin when production is 43,600 units under variable costing. RAMORT COMPANY Contribution Margin (Variable Costing). Variable expenses Contribution margin Required A Required B > 0
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