Homework answers / question archive / DJ's T-Shirt Factory Contribution Margin Sales price per T-Shirt $24 Less: Variable cost per T-Shirt $15 Unit contribution margin per T-Shirt $________   The managerial accountant at DJ's T-Shirt Factory reported the price per shirt is $24

DJ's T-Shirt Factory Contribution Margin Sales price per T-Shirt $24 Less: Variable cost per T-Shirt $15 Unit contribution margin per T-Shirt $________   The managerial accountant at DJ's T-Shirt Factory reported the price per shirt is $24

Accounting

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DJ's T-Shirt Factory Contribution Margin

The managerial accountant at DJ's T-Shirt Factory reported the price per shirt is $24. The only variable cost is $15 per shirt. The managerial accountant also reported that the sales goals were increased to 1,000 shirts during the next quarter. First, compute the unit contribution margin per shirt. If fixed expenses are $8,000, what is the forecasted operating income if 1,000 shirts are sold in the next quarter?

A) 6; $700

B) 7; $800

C) 8; $900

D) 9; $1,000