Question

Lasseter Corporation has provided its contribution format income statement for August. The company produces and sells a single product. Sales (3,700 units) $ 107,300 Variable expenses 48,100 Contribution margin 59,200 Fixed expenses 43,400 Net operating income $ 15,800 If the company sells 3,800 units, its total contribution margin should be closest to:

Answer 1

60,800

Step-by-step explanation:

Contribution Margin Per Unit

= 59,200/3700

= 16 Per units

Contribution Margin at 3800 Units

= 16*3800

= 60,800

Therefore If the company sells 3,800 units, its total contribution margin should be closest to: 60,800