Herman Loebl Company,a Producer of Salsa,has the Following Information The Contribution Margin Per Unit Is ________

question 65

Multiple Choice

Herman Loebl Company,a producer of salsa,has the following information:
$\begin{array}{ll}\text { Income tax rate } & 30 \% \\\text { Selling price per unit } & \$ 8.00 \\\text { Variable cost per unit } & \$ 3.00 \\\text { Total fixed costs } & \$ 90,000.00\end{array}$
The contribution margin per unit is ________.

• A) $2.00
• B) $3.00
• C) $5.00
• D) $8.00

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Definitions:

High-Side Pressure

The pressure within the condenser side of a refrigeration or air conditioning system, often indicating the pressure of the refrigerant as it is condensed into a liquid.

Damaged Compressor

Refers to a compressor that has suffered wear, tear, or breakage, impairing its functionality in systems like air conditioning or refrigeration.

Sight Glass

Allows a technician to see the flow of a liquid in a line (such as fuel or refrigerant) for diagnostic purposes.

Desiccant Breakdown

The degradation of desiccant material, which is used to absorb moisture, often leading to loss of effectiveness in systems such as air dryers or HVAC units.