Answer:
$124,200
Explanation:
Contribution margin is net of sales value and variable cost. This value is available to cover the fixed cost of the business and profit after adjusting fixed cost.
As per given data
Price = $98
Numbers of units sold = 1,800
Total Sales = $98 x 1,800 = $176,400
Variable cost = $23 x 1,800 units = $41,400
Variable marketing cost = $6 x 1,800 = $10,800
Total Variable cost = $41,400 + $10,800 = $52,200
Contribution Margin = Total Sales - Total Variable cost
Contribution Margin = $176,400 - $52,200
Contribution Margin = $124,200
