Sunshine Blender Company sold 3000 units in October at a sales price of $45 per unit. The variable cost is $25 per unit. Calculate the total contribution margin.

Total contribution margin = $60,000

Explanation:

Giving the following information:

Units sold = 3,000

Selling price per unit = $45

Unitary variable cost = $25

First, we will calculate the unitary contribution margin:

Unitary contribution margin = 45 - 25 = $20

Now, total contribution margin:

Total contribution margin = 3,000*20 = $60,000