Contribution Margin = Selling Price per Unit – Variable Cost per Unit
Contribution Margin Ratio = Contribution Margin/Sales
Sales Price $600 |
Sale Price and Variable Cost increased by 10% |
Decrease Fixed Costs by 20% |
|
Unit Contribution Margin |
420 |
352 |
320 |
CM Ratio |
70% |
64% |
64% |
Sales |
600,000 |
550,000 |
500,000 |
Less: Variable Costs |
180,000 |
198,000 |
180,000 |
Contribution Margin |
420,000 |
352,000 |
320,000 |
Less: Fixed Costs |
119,000 |
119,000 |
95,200 |
Net Operating Income |
301,000 |
233,000 |
224,800 |
for it follows s 90,000 s 126,000 $153,000 119,000 119.000 119,000 $209,000 245,000 $272,000 Fixed costs...
E5-19 (Algo) Calculating Contribution Margin and Contribution Ratio, Preparing Contribution Margin Income Statement (LO 5-5) Riverside Inc. makes one model of wooden canoe. Partial information for it follows: 700 850 Number of Canoes Produced and sold 500 Total costs Variable costs $ 90,000 Fixed costs 119,000 Total costs $209,000 Cost per unit Variable cost per unit $ 180.00 Fixed cost per unit 238.00 Total cost per unit $ 418.00 $126,000 119,000 $245,000 $153,000 119,000 $272,000 $ 180.00 170.00 $ 350.00...
Riverside Inc. makes one model of wooden canoe. Partial information for it follows: 400 600 750 Number of Canoes Produced and Sold Total costs Variable costs Fixed costs Total costs Cost per unit Variable cost per unit Fixed cost per unit Total cost per unit $ 50,000 $ 75,000 $ 93,750 90,000 90,000 90,000 $140,000 $ 165,000 $183,750 $ 125.00 225.00 $ 350.00 $ 125.00 150.00 $ 275.00 $ 125.00 120.00 $ 245.00 Riverside sells its canoes for $430 each....
Riverside Inc. makes one model of wooden canoe. Partial information for it follows: 550 750 900 Number of Canoes Produced and Sold Total costs Variable costs Fixed costs Total costs Cost per unit Variable cost per unit Fixed cost per unit Total cost per unit $ 110,000 99,000 $ 209,000 $150,000 99,000 $ 249,000 $180,000 99,000 $279,000 $ 200.00 180.00 $ 380.00 $ 200.00 $ 200.00 132.00 110.00 $ 332.00 $ 310.00 Riverside sells its canoes for $460 each. Next...
Riverside Inc. makes one model of wooden canoe. Partial information for it follows: Number of Canoes Produced and Sold 400 600 750 Total costs Variable costs $ 48,000 $ 72,000 $ 90,000 Fixed costs 120,000 120,000 120,000 Total costs $ 168,000 $ 192,000 $ 210,000 Cost per unit Variable cost per unit $ 120.00 $ 120.00 $ 120.00 Fixed cost per unit 300.00 200.00 160.00 Total cost per unit $ 420.00 $ 320.00 $ 280.00 Riverside sells its canoes for...
Riverside Inc. makes one model of wooden canoe. Partial information for it follows: Number of Canoes Produced and Sold 400 600 750 Total costs Variable costs $ 48,000 $ 72,000 $ 90,000 Fixed costs 120,000 120,000 120,000 Total costs $ 168,000 $ 192,000 $ 210,000 Cost per unit Variable cost per unit $ 120.00 $ 120.00 $ 120.00 Fixed cost per unit 300.00 200.00 160.00 Total cost per unit $ 420.00 $ 320.00 $ 280.00 Riverside sells its canoes for...
400 600 750 Number of Canoes Produced and sold Total costs Variable costs Fixed costs Total costs Cost per unit Variable cost per unit Fixed cost per unit Total cost per unit $ 54,000 60,000 $114,000 $81,000 60,000 $ 141,000 $101,250 60,000 $161,250 $ 135.00 150.00 $ 285.00 $135.00 100.00 $ 235.00 $135.00 80.00 $ 215.00 Riverside sells its canoes for $370 each. Next year Riverside expects to sell 1,000 canoes. Required: Complete the Riverside's contribution margin income statement for...
Riverside Inc, makes one model of wooden canoe. Partial information for it follows: 750 900 Number of Canoes Produced and Sold 550 Total costs Variable costs $ 104,500 Fixed costs 198,000 Total costs $302,500 Cost per unit Variable cost per unit $ 190.00 Fixed cost per unit 360.00 Total cost per unit $ 550.00 $142,500 198,000 $340,500 $171,000 198,000 $369,000 $ 190.00 264.00 $ 454.00 $ 190.00 220.00 $ 410.00 Riverside sells its canoes for $630 each. Next year Riverside...
400 600 750 Number of Canoes Produced and Sold Total costs Variable costs Fixed costs Total costs Cost per unit Variable cost per unit Fixed cost per unit Total cost per unit $ 54,000 60,000 $114,000 $ 81,000 60,000 $ 141,000 $ 101,250 60,000 $ 161,250 $ 135.00 150.00 $ 285.00 $ 135.00 $ 135.00 100.00 80.00 $ 235.00 $ 215.00 Riverside sells its canoes for $370 each. Next year Riverside expects to sell 1,000 canoes. Required: Complete the Riverside's...
Number of Canoes Produced and Sold 450 650 800 Total costs Variable costs $ 63,000 $ 91,000 $112,000 Fixed costs 187,200 187,200 187,200 Total costs $250,200 $278,200 $299,200 Cost per unit Variable cost per unit $ 140.00 $ 140.00 $ 140.00 Fixed cost per unit 416.00 288.00 234.00 Total cost per unit $ 556.00 $ 428.00 S 374.00 Riverside sells its canoes for $700 each. Next year Riverside expects to sell 1,000 canoes. Required: Complete the Riverside's contribution margin income...
Riverside Inc. makes one model of wooden canoe. Partial information for it follows: Number of Canoes Produced and Sold 600 800 950 Total costs Variable costs $ 129,000 $ 172,000 $ 204,250 Fixed costs 228,000 228,000 228,000 Total costs $ 357,000 $ 400,000 $ 432,250 Cost per unit Variable cost per unit $ 215.00 $ 215.00 $ 215.00 Fixed cost per unit 380.00 285.00 240.00 Total cost per unit $ 595.00 $ 500.00 $ 455.00 Riverside sells its canoes for...