The Controller of Samson Electronics Is Evaluating the Unit Contribution

question 34

Multiple Choice

The controller of Samson Electronics is evaluating the unit contribution margin for the GPS receivers for the first quarter of the year.If 20 GPS receivers are produced and sold during June at a unit selling price of $100, with a fixed cost per unit of $5, and variable costs totaling $800, how much is the unit contribution margin for the each GPS receiver?

• A)$60
• B)$100
• C)$55
• D)$40

---

Definitions:

Confidence Interval

A statistical range, with a certain level of confidence, that is likely to contain the true value of an unknown parameter.

Standard Error

The standard deviation of the sampling distribution of a statistic, often used to measure the precision of a sample mean.

Margin of Error

A statistic expressing the amount of random sampling error in a survey's results, indicating a range within which the true population parameter is likely to lie.

Confidence Interval

A set of values obtained from sample data, which is expected to encompass the value of an unspecified population parameter.