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Barcelona Bagpipes Produces Two Models: Model 24 Has Sales of 200

Question 51

Multiple Choice

Barcelona Bagpipes produces two models: Model 24 has sales of 200 units with a contribution margin of $35 each; Model 26 has sales of 75 units with a contribution margin of $37 each.If sales of Model 26 increase by 50 units, how much will profit change?


A) $1,850 increase
B) $1,750 increase
C) $3,600 increase
D) $7,400 increase

Correct Answer:

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