Answer:
d. $2.10 per unit
Explanation:
Calculation for What is the company's unit contribution margin
First step is to calculate the Variable cost using this formula
Variable cost = Variable Manufacturing Expenses + Variable Selling & Administrative Expenses
Let plug in the formula
Variable cost = $297,000 + $165,000
Variable cost = $462,000
Second step is to calculate Total Contributiom Margin using this formula
Total Contributiom Margin=Sales – Variable Cost
Let plug in the formula
Total Contributiom Margin= $924,000 - $462,000
Total Contributiom Margin= $462,000
Now let calculate Unit Contribution Margin using this formula
Unit Contribution Margin= Total Contribution Margin/Total number produced and sold cement
Let plug in the formula
Unit Contribution Margin = $462,000 / 220,000 Unit Contribution Margin= $2.10 per unit
Therefore the Unit Contribution Margin will be $2.10 per unit
