Steadigen Company sells two generatorsModel A and Model Bfor $454 per unit and $396 per...

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Accounting

Steadigen Company sells two generatorsModel A and Model Bfor $454 per unit and $396 per unit, respectively. The variable cost of Model A is $408 per unit and of Model B is $314 per unit. If Steadigen Company's sales incentives reward sales of the goods with the highest contribution margin per unit, the sales force will be motivated to push sales of Model A more aggressively than Model B.

True or False?

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