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Z plc currently sells products Aye, Bee, and Cee in equal quantities and at the same selling price per unit. The contribution to sares ratio for product Aye is 40%; for product Bee it is 50% and the total is 48%. If fixed costs are unaffected by mix and are currently 20% of sales, the effect of changing the product mix to:
Aye 40%Bee 25%Cee 35%
is that the total contribution/total sales ratio changes to:
A 27.4%B 45.3%C 47.4%D 48.4%E 68.4%
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