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What is the contribution margin ratio

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Question - Garcia's, a company that sells fishing nets provides the following information about its product: Targeted operating income $ 50,000 Selling price per unit 6.00 Variable cost per unit 1.50 Total fixed costs 125,000.

What is the contribution margin ratio?

A) 25%

B) 75%

C) 100%

D) 125%

Reference no: EM132119044

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