In: Accounting
X Company estimates the following for its only two products for 2020 - X and Y:
X | Y | |
Unit sales | 4,850 | 630 |
Selling price | $11.30 | $33.00 |
Variable cost | $5.40 | $25.80 |
Total fixed costs in 2020 are expected to be $17,400. What is the
expected weighted average contribution margin per unit in 2020
(rounded to two decimal places)?
Answer: Expected Weighted Average Contribution Margin Per Unit = $ 6.05
Workings to the answer is uploaded in the image format, please go through the image for detailed answer.
Please do not forget to like the answer if you find it useful.
It encourages me to help the students by answering further
questions.
Thank you