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Territory and Product Profitability Analysis Coast to Coast Surfboards Inc. manufactures and sells two styles of surfboards, Atlantic Wave and Pacific Pounder. These surfboards are sold in two regions, East Coast and West Coast. Information about the two surfboards is as follows: The sales unit volume for the territories and products for the period is as follows: a. Prepare a contribution margin by sales territory report. Compute the contribution margin ratio for each territory as a whole percent, rounded to two decimal places, if required. Coast to Coast Surfboards Inc. Contribution Margin by Territory Income Statements under Absorytion Costing and Variable Costing Fresno Industries Inc. manufactures and selis high-quality camping tents. The company began operations on January 1 and operaced at 100% of capacity (61,600 units) during the first month, creating an ending inventory of 5,600 units. During Febraars, the comeany produced 56,000 units during the month but sold 61,600 units at $125 per unit. The february manufacturing costs and selling and administrative expenses were as follows: a. Prepare an income statement according to the absorption coating concept for the month ending Fetruary 28. b. Prepare an income statement according to the variable costing concept for the month ending February 28. Variable Costing Income Statement for a Service Company East Coast Railroad Company transports commodities among three routes (city-pairs): Atlanta/Baltimore, Baltimore/Pittsburgh, and Pittsburgh/Atlanta. Significant costs, their cost behavior, and activity rates for April are as follows: Operating statistics from the management information system reveal the following for April: a. Prepare a contribution margin by route report for East Coast Railroad Company for the month of April. Compute the contribution margin ratio. Rounded to one decimal place. If required, use the minus sign to indicate a negative contribution margin. Varlable and Absorpticn Costing-Three Products Winslow tnc. manufactures and selis three types of shoes. The income statements prepared under the absorption costing method for the three shoes are as follows: Winslow Inc. Product Income Statements-Absorption Costing For the Year Ended December 31. 20Y1 In addition, you have determined the following information with respect to allocated foxed costs: These foxed costs are used to support all three product lines and will not change with the elimination of any one product. In addition, you have determined that the effects of inventory may be ignored. The management of the company has detmed the profit performance of the running shoe line as unacceptable. As a result, it has decided to eliminate the running shoe line. Management does not expect to be able to increase sales in the other two lines. However, as a resuit of eliminating the running shoe line, management expects the profits of the company to increase by $35,300. a. Are management's decision and conclusions correct? aveided if the line is eliminated. b. Prepare a variable costing income statement for the three products. Enter a net loss as a negative number using a minus sign