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If contribution margin per unit is $40 per unit and selling price is $200, then contribution margin percentage would be
Answer & Solution
Correct Answer:
Option
A
Contribution margin percentage = Contribution margin per unit÷ Selling price × 100
= $40 ÷ $200 × 100 = 20.00%.
= $40 ÷ $200 × 100 = 20.00%.
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