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Kaiser's Kraft Korner sells a single product. 7,000 units were sold resulting in $70,000 of sales revenue, $28,000 of variable costs, and $12,000 of fixed costs.
Contribution margin per unit is:
a. $4.00
b. $4.29
c. $6.00
d. None of these answers are correct.
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a. Determine the variable cost per unit and the fixed cost. b. Based on part (a), estimate the total cost for 10,000 units of production.
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