Use the information below to answer the following question(s) .
Veron Corporation is considering building a new plant in Europe. They predict sales at the new plant to be 100,000 units at $4.00/unit. Below is a listing of estimated expenses:
A European firm was contracted to sell the product and will receive a commission of 13% of the sales price. No U.S. home office expenses will be allocated to the new facility.
-The contribution margin ratio for Veron Corporation is
Definitions:
Rational
Pertaining to a number or expression that can be expressed as the quotient or ratio of two integers.
Square Root
The number that produces a specified quantity when multiplied by itself (e.g., the square root of 9 is 3).
Exponents
A mathematical notation indicating the number of times a quantity is multiplied by itself.
Evaluate
To calculate the numerical value or simplify an expression.
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