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Compute the contribution margin

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1. Computing contribution margin

AirTel Company sold 10,000 units of its product at a price of $80 per unit. Total variable cost is $50 per unit consisting of $40 in variable production cost and $10 in variable selling and administrative cost. Compute the contribution margin.

2. Computing unit cost under absorption costing

Rajeev Company reports the following information regarding its production costs. Compute its production cost per unit under absorption costing.

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Reference no: EM13339203

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