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RPM manufactures racks for CDs. Costs are $9.77 per rack. A wholesaler buys CD racks from RPM at $24.70 each, then sells them at $32.30

RPM manufactures racks for CDs. Costs are $9.77 per rack. A wholesaler buys CD racks from RPM at $24.70 each, then sells them at $32.30 to retailers. The retailer sells the racks for $51.90 each to consumers.

How much more unit contribution does the retailer earn using margin instead of markup per sale?

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