Reference: 19_05
Red and White Company Reported the Following Monthly

Multiple Choice

Reference: 19_05
Red and White Company reported the following monthly data:
$\begin{array}{ll}\text { Units produced } & 2,000 \text { units } \\\text { Sales price } & \$ 25 \text { per unit } \\\text { Direct materials } & \$ 1 \text { per unit } \\\text { Direct labor } & \$ 2 \text { per unit } \\\text { Variable overhead } & \$ 3 \text { per unit } \\\text { Fixed overhead } & \$ 8,000 \text { in total }\end{array}$

-What is the Red and White's contribution margin for this month if 980 units were sold?

A) $38,000
B) $18,620
C) $24,500
D) $50,000
E) $21,560