Question
Lorris income statement is as follows: Sales (5,000 units) $75,000 Less variable costs (24,000) Contribution margin $51,000 Less fixed costs (12,000) Net income $ 39,000
Lorris income statement is as follows: Sales (5,000 units) $75,000 Less variable costs (24,000) Contribution margin $51,000 Less fixed costs (12,000) Net income $ 39,000 What is the contribution margin ratio?
A. 167 percent
B. 68 percent
C. 40 percent
D. 60 percent
E. None of the Above
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Management Accounting Change Approaches And Perspectives
Authors: Chandana Alawattage, Danture Wickramasinghe
1st Edition
0415393329, 978-0415393324
