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Derry Internet Services is an Internet service provider for commercial and residential customers. The company provided the following data for its two types of
Derry Internet Services is an Internet service provider for commercial and residential customers. The company provided the following data for its two types of customers for the month of August. (Click the icon to view the contribution margin income statement.) For each type of customer, determine both the contribution margin per customer and the contribution margin ratio. Round to two decimal places. Which type service is more profitable? Calculate the contribution margin per customer Begin by selecting the formula labels, then enter the amounts and calculate the contribution margin per customer for each business segment. (Round your answer to the nearest cent.) Contribution margin Data table: Number of Customers Service Revenue Variable Costs Contribution Margin Fixed Costs Operating Income Commercial Residential Total 800 1,000 1,600 $ 96,000 $ 90,000 $ 186,000 19,200 37,800 57,000 76,800 52.200 129,000 53,000 $ 76,000 Print Done per customer
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