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XYZ, inc. makes and sells bicycle parts. Last year XYZ sold 6,000 handlebars, generating sales of $120,000 . This year they are considering a new

XYZ, inc. makes and sells bicycle parts. Last year XYZ sold6,000handlebars, generating sales of$120,000. This year they are considering a new pricing strategy with a target profit goal of$17,000. They determined that for every$3increase to the selling price, a200decrease in unit sales was expected. Their total costs were$100,000with fixed costs accounting for$68,000. This year, XYZ, inc. is considering changing the selling price to$26.

What is XYZ's average contribution margin ($) per unit?

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