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QUESTION

Skis sell, on the average, for $410 per pair. Variable selling expenses are $46 per pair of skis sold. The remaining selling expenses are fixed.

Skis sell, on the average, for $410 per pair. Variable selling expenses are $46 per pair of skis sold. The remaining selling expenses are fixed. The administrative expenses are 24% variable and 76% fixed. The company does not manufacture its own skis; it purchases them from a supplier for $144 per pair.

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