Solution-Compute contribution per unit for each product

Compute contribution per unit for each product

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Reference no: EM132596227

New Wonders Corporation is involved in the business of making three products X, Y and Z. Following is the relevant information about the products.

X Y Z

Selling Price (AED/Unit) 10 12 12

Variable Costs (AED/Unit) 6 9 7

Fixed Costs (AED) 30,000

Question 1: You are required to compute for each product:

a) Contribution per unit and

b) Break-even point

c) If the corporation has the option to produce 10,000 units of any one of the three products, which one should it choose?

Reference no: EM132596227

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Compute contribution per unit for each product

Reference no: EM132596227

Reference no: EM132596227

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