Tower Company manufactures and sells a single product with a positive contribution margin. If the selling price and the variable cost per unit both increase 5% and fixed costs do not change, what is the effect on the contribution margin per unit and the contribution margin ratio? Contribution margin per unit Contribution margin ratio A. No change No change B. Increase Increase C. Increase No change D. Increase Decrease Option A Option B Option C Option D

as given the equation is

2al + 6 hcl > 2 alcl3 + 3 h2(g)

as per equation two moles of aluminum reacts with six moles of hcl to give two moles of alcl3 and three moles of hydrogen gas

given: three moles of al are present and 7 moles of hcl

for three moles of aluminum nine moles of hcl will be required

however as 7 moles of hcl are present so the limiting reagent is hcl

hcl is going to decide the number of moles of product formed

when six moles of hcl are present = 3 moles of h2 are formed

when one mole of hcl is present == 3/6 mole sof h2 will be formed

when 7 moles of hcl are present = 3 x 7/ 6 moles of h2 will be formed = 3.5 moles of h2