Solution
Marwick's Pianos Inc | ||
Traditional Income Stetement | ||
For the Month of August | ||
Sales revenue | $ 1,56,000.00 | |
Less: Cost of Goods sold | $ 90,660.00 | |
Gross Profit | $ 65,340.00 | |
Selling and Administrative Expenese | ||
Selling Expenses | ||
Advertising | $ 964.00 | |
Sales salaries and Commission | $ 11,026.00 | |
Delivey Expense | $ 3,540.00 | |
Utilities | $ 667.00 | |
Depreciation of sales facility | $ 5,057.00 | |
Total Selling Expenses | $ 21,254.00 | |
Administrative Expenses | ||
Executive Salaries | $ 13,444.00 | |
Insurance | $ 717.00 | |
Clerical | $ 5,051.00 | |
Depreciation- Office Equipment | $ 897.00 | |
Total Administrative expenses | $ 20,109.00 | |
Total Selling and Administrative Expense | $ 41,363.00 | |
Net income | $ 23,977.00 |
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Marwick's Pianos Inc | ||
Contribution formal Income statement | ||
For the Month of August | ||
Total | Per Piano | |
Sales | $ 1,56,000.00 | $ 2,600.00 |
variable Expenses | ||
Direct material cost | $ 90,660.00 | $ 1,511.00 |
Variable Sales salaries and Commission | $ 6,240.00 | $ 104.00 |
Delivery Expenses | $ 3,540.00 | $ 59.00 |
Clerical | $ 2,520.00 | $ 42.00 |
Total Variable Cost | $ 1,02,960.00 | $ 1,716.00 |
Contribution Margin | $ 53,040.00 | $ 884.00 |
Fixed costs | ||
Advertising | $ 964.00 | |
Fixed Sales salaries and Commission | $ 4,786.00 | |
Utilities | $ 667.00 | |
Depreciation- Sales Facility | $ 5,057.00 | |
Executive salaries | $ 13,444.00 | |
Insurance | $ 717.00 | |
Clerical fixed cost | $ 2,531.00 | |
Depreciation- Office equipment | $ 897.00 | |
Total Fixed cost | $ 29,063.00 | |
Net Income | $ 23,977.00 |
Marwick's Pianos, Inc., purchases pianos from a large manufacturer for an average cost of $1,511 per...
Marwick's Pianos, Inc., purchases pianos from a large manufacturer for an average cost of $1,511 per unit and then sells them to retail customers for an average price of $3,200 each. The company's selling and administrative costs for a typical month are presented below. Cost Formula Costs Selling: Advertising Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation of sales facilities Administrative: Executive salaries Insurance Clerical Depreciation of office equipnent $957 per month $4,773 per month, plus 5%...
Marwick's Pianos, Inc., purchases pianos from a large manufacturer for an average cost of $1,495 per unit and then sells them to retail customers for an average price of $2,500 each. The company's selling and administrative costs for a typical month are presented below: Cost Formula Costs Selling: Advertising Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation of sales facilities Administrative: Executive salaries Insurance Clerical Depreciation of office equipment $939 per month $4,777 per month, plus 6%...
Marwick's Pianos, Inc., purchases pianos from a large manufacturer for an average cost of $1,519 per unit and then sells them to retail customers for an average price of $2,600 each. The company's selling and administrative costs for a typical month are presented below: Cost Formula Costs Selling: Advertising Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation of sales facilities Administrative: Executive salaries Insurance clerical Depreciation of office equipment $933 per month $ 4,810 per month, plus...
Marwick's Pianos, Inc., purchases pianos from a large manufacturer for an average cost of $1,504 per unit and then sells them to retail customers for an average price of $2.400 each. The company's selling and administrative costs for a typical month are presented below: Cost Formula Costs Selling: Advertising Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation of sales facilities $969 per month $4,795 per month, plus 5% of sales $57 per piano sold $640 per month...
Marwick's Pianos, Inc., purchases pianos from a large manufacturer for an average cost of $1,500 per unit and then sells them to retail customers for an average price of $2,000 each. The company's selling and administrative costs for a typical month are presented below: Cost Formula Costs Selling: Advertising Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation of sales facilities Administrative: Executive salaries Insurance Clerical Depreciation of office equipment $966 per month $4,804 per month, plus 5%...
Marwick's Pianos, Inc., purchases pianos from a large manufacturer for an average cost of $1,496 per unit and then sells them to retail customers for an average price of $3,100 each. The company's selling and administrative costs for a typical month are presented below: Costs Selling: Cost Formula Advertising Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation of sales facilities $944 per month 4,818 per month, plus 4% of sales $62 per piano sold $658 per month...
Marwick's Pianos, Inc., purchases pianos from a large manufacturer for an average cost of $1,507 per unit and then sells them to retail customers for an average price of $3,500 each. The company's selling and administrative costs for a typical month are presented below: Cost Formula Costs Selling: Advertising Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation of sales facilities Administrative: Executive salaries Insurance clerical Depreciation of office equipment $943 per month $ 4,802 per month, plus...
Marwick's Pianos, Inc., purchases pianos from a large manufacturer for an average cost of $1.483 per unit and then sells them to retail customers for an average price of $2,600 esch. The company's selling and administrative costs for a typical month are presented below: Cost Formula Costs Selling: Advertising Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation of sales facilities Administrative: Executive salaries $953 per month $4,813 per month, plus 4% of sales $62 per piano sold...
Marwick's Pianos, Ic., purchases pianos from a large manufacturer for an average cost of $1,511 per unit and then sells them to retail customers for an average price of $2,600 each. The company's selling and administrative costs for a typical month are presented below: Cost Formula Costs Selling: Advertising $967 per month $4,823 per month, plus 3% of sales $60 per piano sold $657 per month $5,017 per month Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation...
Marwick's Pianos, Inc., purchases pianos from a large manufacturer for an average cost of $1,500 per unit and then sells them to retail customers for an average price of $2,000 each. The company's selling and administrative costs for a typical month are presented below: Cost Formula Costs Selling: Advertising Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation of sales facilities Administrative: Executive salaries Insurance Clerical Depreciation of office equipment $966 per month $4,804 per month, plus 5%...