Question
The income statement for Thomas Manufacturing Company for 2011 is as follows: Sales (10,000 units) $120,000 Variable expenses 72,000 Contribution margin $ 48,000 Fixed expenses
The income statement for Thomas Manufacturing Company for 2011 is as follows:
| Sales (10,000 units) | $120,000 |
| Variable expenses | 72,000 |
| Contribution margin | $ 48,000 |
| Fixed expenses | 36,000 |
| Operating income | $ 12,000 |
What is the contribution margin per unit?
| a. | $7.20 |
| b. | $1.20 |
| c. | $4.80 |
| d. | $120,000 |
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Auditing Theory And Practice
Authors: John Dunn
2nd Edition
0132408961, 978-0132408967
