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Estes Company Sells Two Types of Computer Chips

Question 10

Multiple Choice

Estes Company sells two types of computer chips.The sales mix is 30% (Chip A) and 70% (Chip B) .Chip A has variable costs per unit of $20 and a selling price of $40.Chip B has variable costs per unit of $25 and a selling price of $55.The weighted-average unit contribution margin for Estes is


A) $23.00.
B) $25.00.
C) $27.00.
D) $50.50.

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