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Pharoah provides environmentally friendly lawn services for homeowners. Its operating costs are as follows. Depreciation (straight-line) $1,500 per month Advertising $200 per month Insurance $3,100

Pharoah provides environmentally friendly lawn services for homeowners. Its operating costs are as follows.

Depreciation (straight-line)

$1,500

per month

Advertising

$200

per month

Insurance

$3,100

per month

Weed and feed materials

$20

per lawn

Direct labor

$16

per lawn

Fuel

$4

per lawn

Pharoah charges $80 per treatment for the average single-family lawn. For the month ended July 31, 2025, the company had total sales of $10,400.

PHAROAH CVP Income Statement

July 31, 2025For the Month Ended July 31, 2025For the Quarter Ended July 31, 2025

Total

Per Unit

Percent of Sales

Contribution MarginVariable CostsGross ProfitSalesNet Income/(Loss)Cost of Goods SoldSelling ExpensesAdministrative ExpensesFixed Costs

$

$

%

Selling ExpensesSalesContribution MarginNet Income/(Loss)Cost of Goods SoldAdministrative ExpensesFixed CostsVariable CostsGross Profit

%

Variable CostsNet Income/(Loss)Cost of Goods SoldContribution MarginAdministrative ExpensesSelling ExpensesSalesGross ProfitFixed Costs

$

%

Cost of Goods SoldNet Income/(Loss)Variable CostsSalesFixed CostsGross ProfitContribution MarginAdministrative ExpensesSelling Expenses

Administrative ExpensesContribution MarginFixed CostsSalesNet Income/(Loss)Gross ProfitVariable CostsSelling ExpensesCost of Goods Sold

$

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