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Compute the contribution margin per unit

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Question 1 - Wang Co. manufactures and sells a single product that sells for $300 per unit, variable costs are $174 per unit. Annual fixed costs are $852,600. Current sales volume is $4,230,000. Compute the contribution margin per unit.

Question 2 - Watson Company has monthly fixed costs of $92,000 and a 40% contribution margin ratio. If the company has set a target monthly income of $15,900, what dollar amount of sales must be made to produce the target income?

Reference no: EM133175606

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