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    Managerial Accounting Tools for Business Study Set 2
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    Exam 7: Incremental Analysis
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    Ace Company Sells Office Chairs with a Selling Price of $45
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Ace Company Sells Office Chairs with a Selling Price of $45

Question 1

Question 1

Multiple Choice

Ace Company sells office chairs with a selling price of $45 and a contribution margin per unit of $20.It takes 5 machine hours to produce one chair.How much is the contribution margin per unit of limited resource?


A) $4
B) $5
C) $9
D) $20

Correct Answer:

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