If contribution margin per unit is $40 per unit and selling price is $200, then contribution margin percentage would be
A. 20.00%
B. 10.00%
C. 22.00%
D. 16.00%
Answer: Option A
Solution(By Examveda Team)
Contribution margin percentage = Contribution margin per unit÷ Selling price × 100= $40 ÷ $200 × 100 = 20.00%.
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