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Paradise Pool Cleaning Service provides pool cleaning services to residential customers. The company has three employees, each assigned to specific customers. The company considers each

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Paradise Pool Cleaning Service provides pool cleaning services to residential customers. The company has three employees, each assigned to specific customers. The company considers each employee's territory as a business segment. The company incurs variable costs that include the employees' wages, pool chemicals, and gas for the service vans. Fixed costs include depreciation on the service vans. Following is the income statement for the month of July: (Click the icon to view the income statement.) Read the requirements. Reauirement 1. Calculate the contribution margin ratio for each business segment. Requirement 2. The business segments had the following numbers of customers: Byson, 50; Molden, 80 ; and Freeman, 110. Compute the service revenue per customer, variable cost per customer, and contribution margin per customer for each business segment. Data table Requirements 1. Calculate the contribution margin ratio for each business segment. 2. The business segments had the following numbers of customers: Byson, 50 ; Molden, 80; and Freeman, 110. Compute the service revenue per customer, variable cost per customer, and contribution margin per customer for each business segment. 3. Which business segment was most profitable? List some possible reasons why this segment was most profitable. How might the various reasons affect the company in the long term? Paradise Pool Cleaning Service provides pool cleaning services to residen include the employees' wages, pool chemicals, and gas for the service van (Click the icon to view the income statement.) Read the requirements. Requirement 1. Calculate the contribution margin ratio for each business sec Possible reasons for the profitability of this business segment include the following A. Higher revenue per customer in the most profitable business segment B. Employees in the most profitable business segment cutting corners when p C. Lengthy routes with longer drive times allowing fower customers to be serve D. Better routes with shorter drive times allowing more customers to be served E. Reducing tho amount of pool chemicals used in service calls for the most pr Requirement 2. The business segments had the following numbers of customers: Byson, 50 ; Molden, 80 ; and Freeman, 110. Compute the service revenue per customer, variable cost per customer, and contribution margin per customer for each business segment. Requirenent 3. Which business segment was mont proftable? List sorme posible reason why thin segnent was most groftable. How might the various reasont alloct the con pany in the long teim? The butiness segment was the most proflable because the Posstil reasons for the profitablity of this business negment indude the following (Select ol that oppiy) A. Higher revonue per customer in the mom prostable bushess segment B. Employees in the most proltable bushess segment cutsng coners when performing service call C. Lengthy routes with langet detve tenes allowing fewer custemest lo be served in the most protable business segmen: E. Reducing the amount of pool chemicals used in wervice cals loe the enou proflable business segment F. Hegher employee wages in ithe most profeable bushess segneed G. Lover tevenwe per customer in the noit proflable tusiness segment 11. Lower engloyee wages in the mos proltable bushesi segnent Hoe might the various reasans aflect the company in the long tem? The powible side effects of the Hems identfied in the greceding slep could be (Balio al that apily) A. less fuel and mehenance cosh becacse of eifoleviroutes. H. kereased senvice costs because of redaced pod chemkal unege caving poor water qualy and adentonal berice cate C. highy cormpematod employees tesulting in an inciease in cont bubon margh 0. desatified customers because of inadeguate senice E. hcreased employee timover becave ot low wage1 5. less fuel and manterance costs becavie of lengthier roules 6. increaned customer bale due to competive sentce pricen

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