Gnat Company,a Producer of Electronic Devices,has the Following Information The Contribution-Margin Ratio Is ________

Multiple Choice

Gnat Company,a producer of electronic devices,has the following information:
$\begin{array} { l } \text {Selling price per unit }& \$5.00\\ \text { Variable cost per unit}&\$3.00 \\ \text { Total fixed costs}&\$900,000.00 \\\end{array}$

The contribution-margin ratio is ________.

A) 30%
B) 40%
C) 60%
D) 100%