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RPM manufactures racks for CDs. Costs are $7.25 per rack. A wholesaler buys CD racks from RPM at $19.00 each, then sells them at $34.00
RPM manufactures racks for CDs. Costs are $7.25 per rack. A wholesaler buys CD racks from RPM at $19.00 each, then sells them at $34.00 to retailers. The retailer sells the racks for $52.30 each to consumers.
How much more unit contribution does the retailer earn using margin instead of markup per sale?
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