Problem 22-03A (Part Level Submission)

Blossom Company bottles and distributes B-Lite, a diet soft drink. The beverage is sold for 50 cents per 16-ounce bottle to retailers, who charge customers 75 cents per bottle. For the year 2020, management estimates the following revenues and costs.

Sales		$1,950,000		Selling expensesvariable		$67,000
Direct materials		550,000		Selling expensesfixed		61,000
Direct labor		350,000		Administrative expensesvariable		28,000
Manufacturing overheadvariable		370,000		Administrative expensesfixed		59,250
Manufacturing overheadfixed		260,000

(a)

Prepare a CVP income statement for 2020 based on managements estimates.

BLOSSOM COMPANY CVP Income Statement (Estimated) For the Year Ending December 31, 2020
select an income statement item Administrative ExpensesContribution MarginCost of Goods SoldFixed ExpensesNet Income/(Loss)SalesSelling ExpensesTotal Fixed ExpensesTotal Variable ExpensesVariable ExpensesGross Profit				$enter a dollar amount
select an opening name for section one Administrative ExpensesContribution MarginCost of Goods SoldFixed ExpensesNet Income/(Loss)SalesSelling ExpensesTotal Fixed ExpensesTotal Variable ExpensesVariable ExpensesGross Profit
select an income statement item Administrative Expenses Contribution Margin Cost of Goods Sold Fixed Expenses Net Income/(Loss) Sales Selling Expenses Total Fixed Expenses Total Variable Expenses Variable Expenses Gross Profit		$enter a dollar amount
select an income statement item Administrative Expenses Contribution Margin Cost of Goods Sold Fixed Expenses Net Income/(Loss) Sales Selling Expenses Total Fixed Expenses Total Variable Expenses Variable Expenses Gross Profit		enter a dollar amount
select an income statement item Administrative Expenses Contribution Margin Cost of Goods Sold Fixed Expenses Net Income/(Loss) Sales Selling Expenses Total Fixed Expenses Total Variable Expenses Variable Expenses Gross Profit		enter a dollar amount
select a closing name for section one Administrative Expenses Contribution Margin Cost of Goods Sold Fixed Expenses Net Income/(Loss) Sales Selling Expenses Total Fixed Expenses Total Variable Expenses Variable Expenses Gross Profit				enter a total amount for section one
select a summarizing line for the first part Administrative ExpensesContribution MarginCost of Goods SoldFixed ExpensesNet Income/(Loss)SalesSelling ExpensesTotal Fixed ExpensesTotal Variable ExpensesVariable ExpensesGross Profit				enter a total amount for the first part
select an opening name for section two Administrative ExpensesContribution MarginCost of Goods SoldFixed ExpensesNet Income/(Loss)SalesSelling ExpensesTotal Fixed ExpensesTotal Variable ExpensesVariable ExpensesGross Profit
select an income statement item Administrative Expenses Contribution Margin Cost of Goods Sold Fixed Expenses Net Income/(Loss) Sales Selling Expenses Total Fixed Expenses Total Variable Expenses Variable Expenses Gross Profit		enter a dollar amount
select an income statement item Administrative Expenses Contribution Margin Cost of Goods Sold Fixed Expenses Net Income/(Loss) Sales Selling Expenses Total Fixed Expenses Total Variable Expenses Variable Expenses Gross Profit		enter a dollar amount
select an income statement item Administrative Expenses Contribution Margin Cost of Goods Sold Fixed Expenses Net Income/(Loss) Sales Selling Expenses Total Fixed Expenses Total Variable Expenses Variable Expenses Gross Profit		enter a dollar amount
select a closing name for section two Administrative Expenses Contribution Margin Cost of Goods Sold Fixed Expenses Net Income/(Loss) Sales Selling Expenses Total Fixed Expenses Total Variable Expenses Variable Expenses Gross Profit				enter a total amount for section two
select a closing name for this statement Administrative ExpensesContribution MarginCost of Goods SoldFixed ExpensesNet Income/(Loss)SalesSelling ExpensesTotal Fixed ExpensesTotal Variable ExpensesVariable ExpensesGross Profit				$enter a total net income or loss amount