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Decko Industries Reported the Following Monthly Data What Is the Company's Contribution Margin for This Month If

Question 162

Multiple Choice

Decko Industries reported the following monthly data:
 Units produced 52,000 units  Sales price $33 per unit  Direct materials $1.50 per unit  Direct labor $2.50 per unit  Variable overhead $3.50 per unit  Fixed overhead $234.000 in total \begin{array}{ll}\text { Units produced } & 52,000 \text { units } \\\text { Sales price } & \$ 33 \text { per unit } \\\text { Direct materials } & \$ 1.50 \text { per unit } \\\text { Direct labor } & \$ 2.50 \text { per unit } \\\text { Variable overhead } & \$ 3.50 \text { per unit } \\\text { Fixed overhead } & \$ 234.000 \text { in total }\end{array}

What is the company's contribution margin for this month if 50,000 units were sold?


A) $1,326,000
B) $1,716,000
C) $1,275,000
D) $1,650,000
E) $1,450,000

Correct Answer:

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