Perfect Clean,Inc Calculate the Contribution Margin and the Contribution Margin Ratio

Multiple Choice

Perfect Clean,Inc.provides housekeeping services.The following financial data have been provided. $$\begin{array} { | l | r | } \hline \text { Service Revenue } & \$ 80,000 \\\hline \text { Cleaning Supplies Used } & 22,000 \\\hline \text { Wages Expense } & 19,350 \\\hline \text { Office Rent Expense } & 5,150 \\\hline \text { Depreciation Expense- } & \\\text { Machinery } & 550 \\\hline\end{array}$$ Calculate the contribution margin and the contribution margin ratio.(Round your contribution margin to the nearest dollar,and your contribution margin ratio to two decimal places. )

A) $74,850; 93.56%
B) $60,650; 75.81%
C) $32,950; 41.19%
D) $38,650; 48.31%