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To calculate the **Contribution Margin Ratio**, we first need to determine the contribution margin per unit and then express it as a percentage of the sales price per unit.

### Given Data:
- **Sales price per unit** = $500
- **Variable manufacturing expense per unit** = $50
- **Variable marketing expense per unit** = $50
- **Fixed expenses** = $100,000 (not directly relevant for calculating contribution margin ratio)
- **Units sold** = 5,000 (not directly relevant for calculating contribution margin ratio)

### Steps:
1. **Calculate Total Variable Cost per Unit:**
   \[
   \text{Total Variable Cost per Unit} = \text{Variable Manufacturing Expense} + \text{Variable Marketing Expense}
   \]
   \[
   = 50 + 50 = 100
   \]

2. **Calculate Contribution Margin per Unit:**
   \[
   \text{Contribution Margin per Unit} = \text{Sales Price per Unit} - \text{Total Variable Cost per Unit}
   \]
   \[
   = 500 - 100 = 400
   \]

3. **Calculate Contribution Margin Ratio:**
   \[
   \text{Contribution Margin Ratio} = \frac{\text{Contribution Margin per Unit}}{\text{Sales Price per Unit}} \times 100\%
   \]
   \[
   = \frac{400}{500} \times 100\% = 80\%
   \]

### Answer:
The **Contribution Margin Ratio** is **80%**.

Would you like further details or have any questions?

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#### Related Questions:
1. How would changes in variable costs affect the contribution margin ratio?
2. What impact does an increase in fixed expenses have on the break-even point?
3. How can the contribution margin ratio be used to make pricing decisions?
4. What is the significance of a high contribution margin ratio for a company?
5. How does the contribution margin ratio relate to profitability?

#### Tip:
A higher contribution margin ratio indicates that a larger portion of sales revenue contributes to covering fixed costs and generating profit.

Calculate Contribution margin ratio given the sales price per unit, variable manufacturing and marketing expenses per unit, fixed expenses, and units sold.

Learn how to calculate the Contribution Margin Ratio given sales price per unit ($500), variable manufacturing and marketing expenses per unit ($50 each), fixed expenses ($100,000), and units sold (5,000). This solution includes step-by-step calculations, formulas, and explanations.

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