Ruben Is a Travel Agent

Multiple Choice

Ruben is a travel agent. He intends to sell his customers a special round-trip airline ticket package. He is able to purchase the package from the airline for $170 each. The round-trip tickets will be sold for $200 each and the airline intends to reimburse Ruben for any unsold ticket packages. Fixed costs include $5,500 in advertising costs. What is the contribution margin per ticket package?

A) $30
B) $370
C) $170
D) $200