Question
Hudson Company reports the following contribution margin income statement. HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales (8,200 units at $240
Hudson Company reports the following contribution margin income statement.
| HUDSON COMPANY | |
| Contribution Margin Income Statement | |
| For Year Ended December 31 | |
| Sales (8,200 units at $240 each) | $ 1,968,000 |
|---|---|
| Variable costs (8,200 units at $180 each) | 1,476,000 |
| Contribution margin | $ 492,000 |
| Fixed costs | 369,000 |
| Income | $ 123,000 |
2. If sales decrease by 5% in the next year, what will be the companys income?
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Cost Accounting A Managerial Emphasis
Authors: Charles T. Horngren, Srikant M.Dater, George Foster, Madhav
14th Edition
978-0132960649, 132960648, 132109174, 978-0132109178
