Reference: 19_05
Red and White Company Reported the Following Monthly

question 88

Multiple Choice

Reference: 19_05
Red and White Company reported the following monthly data:
$\begin{array}{ll}\text { Units produced } & 2,000 \text { units } \\\text { Sales price } & \$ 25 \text { per unit } \\\text { Direct materials } & \$ 1 \text { per unit } \\\text { Direct labor } & \$ 2 \text { per unit } \\\text { Variable overhead } & \$ 3 \text { per unit } \\\text { Fixed overhead } & \$ 8,000 \text { in total }\end{array}$

-What is the Red and White's contribution margin for this month if 980 units were sold?

• A) $38,000
• B) $18,620
• C) $24,500
• D) $50,000
• E) $21,560

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Definitions:

Levels of Analysis

Different perspectives from which social behavior can be studied and understood, often ranging from individual to societal levels.

Organizational Behavior

A field of study that investigates how individuals, groups, and structure affect and are affected by behavior within organizations.

Departments

Distinct divisions within an organization, company, or institution, specializing in specific tasks or functions.

People Skills

The ability to communicate, interact, and work well with others.