# Pricing analyst internships: when higher revenue means lower contribution

## Find the volume a discount must produce

Fictional unit economics. Variable cost per unit is held constant and fixed costs are outside the model.

### Base and proposed promotion

| Input | Base | Proposal |
| --- | --- | --- |
| Price | 40 | 36 |
| Units | 1000 | 1200 |
| Variable cost per unit | 22 | 22 |

## Your turn

Calculate revenue and contribution for both scenarios. Determine the whole-unit volume required to preserve base contribution at the new price.

## Your answer

[Write your approach here.]

## For your own application

Build a price-volume sensitivity table and explain one commercial effect the simplified model excludes.

Return to the guide for the worked answer and source notes:
https://internshipdeadlines.com/guides/pricing-analyst-internships-contribution-margin