Answer:
$287,700
Explanation:
• Please note that this is an incomplete question. However, the needed parts were gotten from the internet.
Sales = $910,000
Cost of goods sold = $530,000
Contribution margin = sales - cost of goods sold - variable selling expenses - variable administrative expenses
Number of books sold = Sales reported / Average selling price per book
= $910,000 / $70
= 13,000 books
Total variable selling expenses = Number of books sold × selling expenses per unit
= 13,000 × $5
= $65,000
Total variable administrative expenses = reported sales × variable adm. as a % of sales
= $910,000 × 3%
= $27,300
Contribution margin = $910,000 - $530,000 - $65,000 - $27,300
= $287,700
