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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › 67 yilandwe
how did we get contribution per unit 120? APPENDICE 1 (Present value calculation )
They currently pay $200 and earn a contribution of $40. So the cost is $160.
They are going to increase the price to $280, and so the new contribution will be $280 – $160 = $120.
