Question

During March, a firm expects its total sales to be $164,000, its total variable costs to be $95,400, and its total fixed costs to be $25,400. The contribution margin for March is: Multiple Choice $68,600. $95,400. $120,800. $43,200. $25,400.

Answer 1

$68,600

Step-by-step explanation:

Sales = $164,000

Total variable costs = $95,400

Total fixed costs = $25,400

Contribution margin = Sales - variable cost

= $164,000 - $95,400

= $68,600

The firm's contribution margin for March is $68,600.