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Contribution Margin and Unit Economics
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Entrepreneurship
ENT.092 Contribution Margin and Unit Economics
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A class project has average order revenue of $42. Each order contains two products costing $12 each, packaging of $3, and payment fees of $1.20. Which statement correctly calculates profit per order before fixed costs?
A
$42 - $12 - $3 - $1.20 = $25.80
B
$42 - (2 x $12) - $3 - $1.20 = $13.80
C
$42 - (2 x $12) = $18.00
D
$42 - $3 - $1.20 = $37.80
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