Sally's Fries Sells Three Large Fries for Every Two Small

question 165

Multiple Choice

Sally's Fries sells three large fries for every two small ones.A small fry sells for $2 with a variable cost of $1.A large fry sells for $3 with a variable cost of $1.25.What is the weighted average contribution margin?

• A)$0.69
• B)$0.65
• C)$3.75
• D)$1.45

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Definitions:

Security Interest

A legal claim or right on property that is created by a security agreement as collateral to secure the performance of an obligation, such as repaying a loan.

Farm Products

Goods produced through agricultural activities, such as crops, livestock, and the products derived from them.

Financing Statement

A document filed by a creditor to give public notice to third parties of the creditor's interest in the debtor's personal property used as collateral.

Security Interest

A legal claim or lien on collateral that gives a creditor the right to possess and sell the asset if the debtor fails to meet the obligations of a loan agreement.