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A Firm Sells Two Products, Regular and Ultra

Question 164

Multiple Choice

A firm sells two products, Regular and Ultra. For every unit of Regular sold, two units of Ultra are sold. The firm's total fixed costs are $1,612,000. Selling prices and cost information for both products follow. The contribution margin per composite unit is: A firm sells two products, Regular and Ultra. For every unit of Regular sold, two units of Ultra are sold. The firm's total fixed costs are $1,612,000. Selling prices and cost information for both products follow. The contribution margin per composite unit is: A) $12. B) $20. C) $32. D) $44. E) $52.


A) $12.
B) $20.
C) $32.
D) $44.
E) $52.

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