Please submit your professional letter to Jubilee, which should completely and accurately addresses all of the case questions in the student handout.

Suggested resource: the COBE writing style guide, which includes business letter formats.

Use the interactive Excel dashboard you built to answer the following questions:

1. What total is calculated by taking sales revenue less variable costs? How does this total differ from net income? Why is it important in decision making? What assumptions should you share with them?
2. What is the total contribution margin for Jubilee Superstores for the current year? (You will need to add some numbers on the dashboard to arrive at the total contribution margin for the current year.)
3. Which 3 products have the highest CM ratios in the current year? Which 3 products have the lowest CM ratios in the current year?
4. Would you recommend that any products be completely discontinued? Would you recommend that any products be discontinued in a specific channel(s)?
5. Are all 3 channels (segments) performing well? Should any be discontinued?
6. What is the segment margin for the Store distribution channel? For the Website distribution channel?
7. What is the contribution margin provided by the Computers product in the current year? What is the percentage change from the prior year for the Computers product?
8. How could this dashboard help the company in its decision-making? What overall strategy questions could this dashboard address?

Contribution margin (CM) by distribution channel Contribution margin (CM) by product Distribution channel * Total Catalog contribution margin CM provided by Calendars: Current vs. prior year Catalog Store $ 40,653 Product % prior year website Distribution channel Catalog Store website Grand Total Current Contribution Margin S s S $ 59 577 453 1,088 178.57% 14.81% A -36.89% -12.31% Prior Contribution Margin $ $ $ $ 21 502 717 1,241 Overall distribution channel segment margins Calendars Camera and photo Cell phones Computers Nonfiction - History Nonfiction - Leadership Nonfiction - Self-help Nonfiction - Technology Top 5 CM ratios sold via the Calendars distrbution channel Camera and photo TV and video Calendars Office basics Computers Sum of CM ratio - current year 48.41% 45.45% 45.33% 45.22% 45.21% Chart Title $572 $14,855 $453 $16.000 $14000 $12000 $100 $8,000 $6,000 $4,000 $2,000 $ The Catalog product with the HIGHEST CM ratio was Camera and photo The Catalog product with the LOWEST CM ratio was Nonfiction - History $ $ $ $ S 5 $59 Computers Paper Writing TV and video Nondition with S $ S Calendars Camera and photo Catalog Store Sales revenue Variable cost of goods sold Total contribution margin Direct fixed costs Segment margin website 100.00% 56.63% 43.37% 85,450 44,797 40,653 11,000 29,653 100.00% $ 212.230 52.42% $ 112,012 47.58% $ 100.218 $ 16,000 $ 84 218 100.00% $ 378,350 52.78% $ 214.271 47.22% $ 164,079 $ 24,000 $ 140,079 S Nonfiction History Noeliction Leadership Nondition Technology office basics S Max average CM provided by Calendars: Current year The MOST Catalog CM was provided by the product Computers The LEAST Catalog CM was provided by the product Camera and photo