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Calculate the companys unit contribution ratio

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Reference no: EM13525313

A cement manufacturer has supplied the following data:

Tons of cement produced and sold 220,000

Sales revenue $924,000

Variable manufacturing expense $297,000

Fixed manufacturing expense $280,000

Variable selling and admin expense $165,000

Fixed selling and admin expense $82,000

Net operating income $100,000


a. Calculate the company's unit contribution margin

b. Calculate the company's unit contribution ratio

c. If the company increases its unit sales volume by 5% without increasing its fixed expenses, what would the company's net operating income be?

Reference no: EM13525313

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