Question

The following data relate to a company that produces and sells a travel guide that is updated monthly: Each book sells for $20.00. The company sold 8,000 books in June and 10,000 books in July. The unit contribution margin per book is:

Answer 1

Answer:

10.30

Explanation:

20

8000

160 000 June

10000

200 000 July

20 - 3.20 -4 - .50 -2 = 10.30

costs:Printing and binding...............................$3.20 per copyBookstore discounts................................$4.00 per copySalespersons’ commissions....................$0.50 per copyAuthor’s royalties...................................$2.00