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Hudson Company reports the following contribution margin income statement. HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales (10,200 units at $225
Hudson Company reports the following contribution margin income statement.
HUDSON COMPANY | |
Contribution Margin Income Statement | |
For Year Ended December 31 | |
Sales (10,200 units at $225 each) | $ 2,295,000 |
---|---|
Variable costs (10,200 units at $180 each) | 1,836,000 |
Contribution margin | 459,000 |
Fixed costs | 360,000 |
Income | $ 99,000 |
The marketing manager believes that increasing advertising costs by $87,000 will increase the companys sales volume to 11,600 units. Prepare a contribution margin income statement for the next year assuming the company incurs the additional advertising costs.
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Need to find numbers for this chart ^^
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