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eBook Ighment/takeAssignmentMain.do?invoker=&takeAssignmentSession L... A Light Medium Dark Roast Roast Roast Sales $750,000 $1,175,000 $487,500 Cost of goods sold (450,000) (700,000) (390,000) Gross profit $300,000 1475,000

image text in transcribed eBook Ighment/takeAssignmentMain.do?invoker=&takeAssignmentSession L... A Light Medium Dark Roast Roast Roast Sales $750,000 $1,175,000 $487,500 Cost of goods sold (450,000) (700,000) (390,000) Gross profit $300,000 1475,000 $97,500 Selling and administrative expenses (135,000) (350,000) (150,000) Operating income (loss) $165,000 $125,000 $(52,500) Fixed costs are 40% of the cost of goods sold and 18% of the selling and administrative expenses. Blonde Espresso assumes that fixed costs would not be signific a. Prepare a differential analysis report for all three products. BLONDE ESPRESSO COMPANY Product-Line Income Statement Differential Analysis Report Differential revenue from monthly sales: Revenue from sales Differential cost of monthly sales: Variable cost of goods sold Variable selling and administrative expenses Total differential costs Monthly differential income from sales Feedback Light Roast Medium Roast Dark Roast 750,000 1,175,000 487,500 x 156,000 X 234,000 123,000 357,000 130,500 Check My Work a. Follow Exhibit 6 in the text. For continued use, subtract the variable and fixed costs from revenues. For discontinued use, only fixed costs remain. Deter income (loss). Check My Work M 3. $ 4 % 5 All work saved. OL hp > 6 & 7 E R T Y 2 80 19 144 10 711 9 G H J K P

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