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What would the new contribution margin

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Reference no: EM132875214

Question - Charlie Shine has written a self-improvement book. The following are its pricing and cost details:

Selling price $18.00 per book

Variable cost per unit:

Production $3.50

Selling & administrative 1.90

Fixed costs:

Production $33,600 per year

Selling & administrative 15,540 per year

Required - Assume the variable production cost were each decreased by $0.36 per book. What would the new contribution margin % be?

Reference no: EM132875214

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