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What is the contribution margin ratio for super brews

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Reference no: EM132490901

Super Brews is a coffee stand in Cincinnati. The average selling price of coffee is $ 1.85 and the average variable expense per cup is .67 cents. The average fixed expense per month is $1,400. An average of 2,300 cups are sold each month.

Question 1: What is the CM (contribution margin) Ratio for Super Brews?

(Hint: CM Ratio = Unit Contribution Magin/Unit selling price)

Reference no: EM132490901

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