Avia Company sells a product for 170 per unit Variable costs

Avia Company sells a product for $170 per unit Variable costs are $120 per unit, and fixed costs are $800 per month The company expects to sell 690 units in September. The unit contribution margin is O A. $50 per unit O B. $170 per unit ° C. $120 per unit O D. $290 per unit

Solution

Solution : $50 per unit

working:

unit contribution margin = Selling price - variable cost

= $170 - $120

= $50