Please help me and double check the answer! I will kindly thumbs up. Thank you s

Question

Please help me and double check the answer! I will kindly thumbs up. Thank you so much.

Ramort Company reports th e following cost data for its single product. The company regularly sells 16,000 units of its product at a price of $52.00 per unit. Direct materials 9.20 per unit Direct labor 11.20 per unit Overhead costs for the year Variable overhead 2.20 per unit 14,400 Fixed overhead per year Selling and adminstrative costs for the year 1.20 per unit Variable Fixed 64,400 Normal production level (in units) 16,000 units Compute contribution margin under variable costing. RAMORT COMPANY Contribution margin

Explanation / Answer

Selling revenue ( 16000*52) 832000 Less variable cost (variable cost) Direct Material (9.2*16000) 147200 Direct Labor (11.2*16000) 179200    Variable overhead cost (2.2*16000) 35200 361600 Contribution 470400 Less Selling and administrative costs     Variable(1.20 *16000) 19200      Fixed 64400 83600 Fixed overhead per year 14400 Net operating income 372400

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