Bovous Stores,Inc What Is the Contribution Margin Percentage?
A) 60%
B) 66

question 127

Multiple Choice

Bovous Stores,Inc.,sells several products.Information of average revenue and costs is as follows: $\begin{array}{lr}\text { Selling price per unit } & \$ 20.00 \\\text { Variable costs per unit: } & \\\text { Direct material } & \$ 4.00 \\\text { Direct manufacturing labor } & \$ 1.60 \\\text { Manufacturing overhead } & \$ 0.40 \\\text { Selling costs } & \$ 2.00 \\\text { Annual fixed costs } & \$ 96,000\end{array}$
What is the contribution margin percentage?

• A) 60%
• B) 66%
• C) 33%
• D) 55%

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