Answer the Following Questions Using the Information Below:
Coroid Manufacturers

question 209

Multiple Choice

Answer the following questions using the information below:
Coroid Manufacturers Inc. is approached by a European customer to fulfill a one-time-only special order for a product similar to one offered to domestic customers. The company has excess capacity. The following per unit data apply for sales to regular customers:
$\begin{array}{l}\text { Variable costs: }\\\text { Direct materials } & \$ 120 \\\text { Direct labor } & 60 \\\text { Manufacturing support } & 105 \\\text { Marketing costs } & 45\\\text { Fixed costs: }\\\text { Manufacturing support } & 135 \\\text { Marketing costs } & \underline{45}\\\text { Total costs } & 510 \\\text { Markup (50\%) } & 255 \\\text { Targeted selling price } & \$ 765\end{array}$
-What is the contribution margin per unit?

• A) $170
• B) $220
• C) $435
• D) $510

---

Definitions:

Phospholipids

A class of lipids that are a major component of all cell membranes, consisting of two fatty acids, a glycerol unit, and a phosphate group, playing key roles in cellular structures and functions.

Choline

An essential nutrient that is part of the B-complex vitamin family; it's crucial for liver function, brain development, muscle movement, and metabolism.

Phosphatidic Acid

A fundamental diacylglycerol derivative with a phosphate group, playing a key role in lipid metabolism and the biosynthesis of glycerophospholipids.

Phospholipids

A class of lipids that are a major component of all cell membranes as they can form lipid bilayers.