The following standard cost statement relates to a product which sells for $$200$ each. The company budgets to produce and sell $4,000$ units.

Cost per unit for variable overheads is $$120\mathrm{.}00$ and fixed costs $$40\mathrm{.}00$ per unit.

Required: Calculate the contribution to sales ratio

a$)80\%$

b$)60\%$

c$)40\%$

d$)50\%$