What is the variable cost percentage, Accounting Basics

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What is the variable cost percentage

Question:

A restaurant has an average check of $12.95, with an average variable cost of $5.44. Fixed costs are $140,000. Calculate the following:

a. What is the unit contribution margin?

b. What are breakeven units?

c. What is the variable cost percentage?

d. What is the contribution as a percentage?

e. What is breakeven sales revenue?

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Accounting Basics: What is the variable cost percentage

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