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PowerTrain Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVS), the Mountain Monster and Desert Dragon, from a single manufacturing facility. The
PowerTrain Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVS), the Mountain Monster and Desert Dragon, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Mountain Monster Desert Dragon Sales price $4,600 $2,800 2,900 1,880 Variable cost of goods sold Manufacturing margin $1,700 $920 Variable selling expenses 826 444 Contribution margin $874 $476 410 Fixed expenses 190 $464 $286 Income from operations In addition, the following sales unit volume information for the period is as follows: Desert Dragon Mountain Monster 2,100 Sales unit volume 1,500 a. Prepare a contribution margin by product report. Calculate the contribution margin ratio for each product as a whole percent. PowerTrain Sports Inc. Contribution Margin by Product Mountain Monster Desert Dragon In addition, the following sales unit volume information for the period is as follows: Desert Dragon Mountain Monster Sales unit volume 2,100 1,500 a. Prepare a contribution margin by product report. Calculate the contribution margin ratio for each product as a whole percent. PowerTrain Sports Inc. Contribution Margin by Product Desert Dragon Mountain Monster $
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