Deighan Company had the following amounts from its income statement:

Deighan Company had the following amounts from its income statement:



Sales revenue (800 units) $80,000
Cost of goods sold -fixed 20,000
Cost of goods sold -variable 18,500
Selling expenses - fixed 7,000
Selling expenses - variable 6,000
Administrative expenses - fixed 5,000
Administrative expenses - variable 7,500
How much is Deighan's contribution margin?



A. $16,000.
B. $41,500.
C. $48,000.
D. $61,500.




Answer: C


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