Question

In: Accounting

X Company estimates the following for its only two products for 2020 - X and Y:...

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)?

Solutions

Expert Solution

Answer: Expected Weighted Average Contribution Margin Per Unit = $ 6.05

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