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1.Our company sells a product for $120 per unit. Variable costs are $90 per unit and fixed costs are $4,000. The company expects to sell 200 units
1.Our company sells a product for $120 per unit. Variable costs are $90 per unit and fixed costs are $4,000. The company expects to sell 200 units this year. What is the contribution margin per unit?
a.$10
b.$25
c.$30
d.$75
2.Our company sells a product for $150 per unit. Variable costs are $90 per unit and fixed costs are $18,000. The company expects to sell 800 units this year. How many units must we sell to break even?
a.300
b.320
c.360
d.400