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Morning Dove Company manufactures one model of birdbath, which is very popular. Moning Dove sells all units it produces each month. The relevant range is
Morning Dove Company manufactures one model of birdbath, which is very popular. Moning Dove sells all units it produces each month. The relevant range is 0-1,800 units, and monthly production costs for the production of 1,300 units follow. Morning Dove's utilities and maintenance costs are mixed with the fixed components shown in parentheses. Production Costs Direct materials Direct labor Utilities ($150 fixed) Supervisor's salary Maintenance ($350 fixed) Total Cost $3,100 6,700 560 2,600 490 800 Suppose it sells each birdbath for $30. Required 1. Calculate the unit contribution margin and contribution margin ratio for each birdbath sold. (Round Variable cost per unit to 2 decimal places. Enter all amounts as positive values.) ales Price iable Cost Unit Contribution per Birdbath Contribution Margin Ratio 2. Complete the contribution margin income statement assuming that Morning Dove produces and sells 1,500 units. (Round your intermediate calculation to two decimal place.) MORNING DOVE COMPANY Contribution Margin Income Statement Expected for 1,500 Units Contribution Margin Net Operating Income
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