A company sold 5,000 units for a price of $50 per unit and had the following information:
If the sales price per unit were to increase by 10%, variable expenses were to increase by 12.5% and fixed expenses were to increase by 20%, what would be the new contribution margin?
$19 per unit.
$21 per unit.
$23 per unit.
$25 per unit.
None of the above.