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Problem-

The following data pertain to Epsom Corporation's operations:

Unit sales

12,600 units

Selling price

$32 per unit

Contribution margin ratio

25%

Margin of safety percentage

15%

The variable expense per unit is: (Do not round intermediate calculations).

a. $4.80 per unit

b. $12.80 per unit

c. $24.00 per unit

d. $8.00 per unit

Additional requirement-

The problem belongs to Basic Accounting and it discusses on calculation of variable cost per unit.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M91394037
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