Accounting 9706 · AS & A Level · Costs and cost behaviour

Costs and cost behaviour — practice question

The information below applies to one unit of a product. Per-unit details: Selling price = $\$20$ Marginal cost = $\$8$ Fixed costs = $\$5$ What is the contribution to sales ratio?

  • A$35\%$
  • B$40\%$
  • C$60\%$
  • D$65\%$

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