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MC Qu. 118 Forrester Company is considering buying... 005 Forrester Company is considering buying new equipment that would in
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Answer #1

answer = 50%

Contribution Marin Ratio = Contribution Margin / Sales

Revised Contribution Marin = Selling Price - Variable cost (Revised ) = 120- (80-20) = 120-60 = 60

Revised Contribution Margin Raito = 60/120 =50%

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