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Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing
Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products Conquistador Hurricane Sales price 14,000 $4,600 Variable cost of goods sold 14,280) (3,080) Manufacturing margin $2.520 $1,520 Variable selling expenses (1,228) (830) Contribution margin $1,202 1690 Fixed expenses Operating income (610) 3682 (200) $410 In addition, the following sales unit volume information for the period as w Sales unit volume Conquistador 1,900 Hurricane 1,400 a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each product as a whole percent Galaxy Sports Inc. Contribution Margin by Product Sales Variable cost of goods sold Manufacturing margin Conquistador Hurricane Conquistador Hurricane Sales price $6,800 $4,600 Vartable cost of goods sold (4.280) (3,080) Manufacturing marg $2,520 $1,520 Variable selling expenses (1,228) 0x30) Contribution margin $1,292 100 Fixed expe (610) (280) Operating income 1682 $410 In addition, the following sales unit volume information for the period is as follows Conquistador 1,500 Hurricane 1,400 Prepare a contion margin by product report, Compute the contribution margin ratio for each product as a white percent Galaxy Sports Inc. Contribution Margin by Product Variable cost of goods sold Manufacturing margin Variable selling expenses Contribution margin Contribution margin ratin Conquistador Hurricane
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