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Management · Q231

Management Accounting

Graduate and Post Graduate · Management · question 231

Q231

If selling price is 5000, contribution margin per unit is 1000, then contribution margin percentage will be

A.
12.00%
B.
20.00%
Answer
C.
5.00%
D.
15.00%

Answer: Option B

Solution

Answer: Option B
Solution:
Contribution margin percentage = Contribution margin per unit ÷ selling price × 100
= 5000 × 100 = 20.00%