unit contribution Foods Inc (Fl) sells 4 million units per...

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Accounting

unit contribution
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Foods Inc (Fl) sells 4 million units per year of its only product (SuperFood) through a major retailer. SuperFoods' retail price is $12 per unit which included a margin to the retailer of 20%. SuperFoods' manufacturing cost is $6 per unit. In order to promote sales, Fl pays a sales broker 8% of the retail price of each unit sold. Fl spends $6,600,000 per year in fixed costs (.e. advertising, administrative costs and rent of the production facility). Calculate SuperFoods' unit contribution

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