Rhinefold brews reduced calorie beer and regular beer. Sales of its reduced calorie beer represent...
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Rhinefold brews reduced calorie beer and regular beer. Sales of its reduced calorie beer represent 25% of the companys total revenue. Sales of regular beer represent the remaining 75%. Reduced calorie beer has a contribution margin ratio of 80%, whereas the contribution margin ratio of regular beer is only 60%. Rhinefolds monthly fixed costs average $609,500.
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