The Bluebird Factory reported $1,000,000 in total revenues and $60,000 total variable costs during the previous year. Required: Compute the contribution margin. O a. $920,000 O b. $980,000 O c. $940,000 d. $960,000 e. $900,000

Managerial Economics: A Problem Solving Approach
5th Edition
ISBN:9781337106665
Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Chapter5: Investment Decisions: Look Ahead And Reason Back
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The Bluebird Factory reported $1,000,000 in total revenues and $60,000 total variable costs during the
previous year.
Required: Compute the contribution margin.
O a. $920,000
O b. $980,000
C. $940,000
d. $960,000
e. $900,000
Transcribed Image Text:The Bluebird Factory reported $1,000,000 in total revenues and $60,000 total variable costs during the previous year. Required: Compute the contribution margin. O a. $920,000 O b. $980,000 C. $940,000 d. $960,000 e. $900,000
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