Ask Question
7 January, 00:49

Compute and interpret the contribution margin ratio using the following dа ta: sales, $6,000; total variable cost, $3,000.

+2
Answers (1)
  1. 7 January, 03:30
    0
    The contribution margin ratio is 0.5

    Explanation:

    In order to calculate the contribution margin ratio we will use the formula

    (Sales - Variable cost) / Sales=Contribution margin ratio

    Sales = 6,000

    Variable cost = 3,000

    We will input these values in the formula.

    (6,000-3,000) / 6,000=3,000/6,000=0.5
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Compute and interpret the contribution margin ratio using the following dа ta: sales, $6,000; total variable cost, $3,000. ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers