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Management · Q283

Management Accounting

Graduate and Post Graduate · Management · question 283

Q283

Revenue is 11000 and all variable cost is 6000, then contribution margin would be

A.
-$17000
B.
$17,000
C.
$5,000
Answer
D.
-$5000

Answer: Option C

Solution

Answer: Option C
Solution:
Contribution margin = Revenue - Variable cost
= 6000 = $5,000.
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