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Prepare a contribution margin income statement Assume that you are part of the accounting team for Sutcliffe Hardware. The company has only one product that
Prepare a contribution margin income statement Assume that you are part of the accounting team for Sutcliffe Hardware. The company has only one product that sells for $80 per unit. Sutcliffe estimates total fixed costs to be $3,800. Sutcliffe estimates direct materials cost of $24.00 per unit, direct labor costs of $30.00 per unit, and variable overhead costs of $6.00 per unit. The CEO would like to see what the gross margin and operating income will be if 300 units are sold in the next period. Prepare a contribution margin income statement. Sutcliffe Hardware Contribution Margin Income Statement Sales Less: Variable costs Contribution margin Less: Fixed costs Operating income
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