Question & Answer: s and sells 10, 000 units, its unit costs are as follows: 13. If the selling price is $22 pe…..

Martinez Companys relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its unit costs are as follows: Amount Per Unit Direct labor . .. Variable manufacturing overhead $6.00 $3.50 $1.50 Fixed selling expense $3.00 Fixed administrative expense .$2.00 $1.00 Variable administrative expense ...$0.50 Screen Shot 2017-09-06 at 3.30.46 PM Search 13. If the selling price is $22 per unit, what is the contribution margin per unit sold?

Martinez Company’s relevant range of production is 7, 500 units to 12, 500 units. When it produces and sells 10, 000 units, its unit costs are as follows: 13. If the selling price is $22 per unit, what is the contribution margin per unit sold?

Expert Answer

 

Particulars Amount
Sale Price         22.00
Less: Material           6.00
Less: Labor           3.50
Less: Variable manufacturing overhead           1.50
Less: Variable admin overhead           1.00
Contribution Margin         10.00
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