Preparing a Contribution Margin Income Statement
Following is relevant information for Sunsplash Smoothie Shop, a small business that serves fruit drinks.
Total fixed cost per month | $1,200.00 |
Variable cost per drink | 1.25 |
Sales price per drink | 4.75 |
During the month of June, Sunsplash sold 500 smoothies. Using the preceding information, prepare its contribution margin income statement for the month of June.
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