Aaron corporation, which has only one product, has provided the following data concerning its most recent month of operations: selling price $ 95 units in beginning inventory units produced units sold units in ending inventory 0 3,300 2,900 400 varlable costs per unit: direct materlals direct labor varlable manufacturing overhead varlable selling and adminlstrative expense $25 $ 33 6 4 fixed costs: flxed manufacturing overhead fixed selling and administrative expense $52,800 2,500 the total contribution margin for the month under variable costing is: $78300 o $25,500 o $23,000 o $89,900

Biochemical corp. requires $600,000 in financing over the next three years. the firm can borrow the funds for three years at 10.80 percent interest per year. the ceo decides to do a forecast and predicts that if she utilizes short-term financing instead, she will pay 7.50 percent interest in the first year, 12.15 percent interest in the second year, and 8.25 percent interest in the third year. assume interest is paid in full at the end of each year. a)determine the total interest cost under each plan. a) long term fixed rate: b) short term fixed rate: b) which plan is less costly? a) long term fixed rate plan b) short term variable rate plan