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Required information Morning Dove Company manufactures one model of birdbath, which is very popular. Morning Dove sells all units it produces each month. The relevant
Required information Morning Dove Company manufactures one model of birdbath, which is very popular. Morning Dove sells all units it produces each month. The relevant range is 0-1,900 units, and monthly production costs for the production of 1,400 units follow. Morning Dove's utilities and maintenance costs are mixed with the fixed components shown in parentheses. Production Costs Direct materials Direct labor Utilities ($110 fixed) Supervisor's salary Maintenance ($310 fixed) Depreciation Total Cost $ 2,500 7, 700 640 3, 100 520 900 Suppose it sells each birdbath for $22. Required: 1. Calculate the unit contribution margin and contribution margin ratio for each birdbath sold. 2. Complete the contribution margin income statement assuming that Morning Dove produces and sells 1,600 units. Required 1 Required 2 Calculate the unit contribution margin and contribution margin ratio for each birdbath sold. (Round Variable cost decimal places. Round your contribution margin ratio to 2 decimal places. Enter all amounts as positive values.) = Unit Contribution Margin per Birdbath | = Contribution Margin Ratio Required 1 Required 2 Complete the contribution margin income statement assuming that Morning Dove produces and sells 1,600 units. intermediate calculation to 2 decimal places.) MORNING DOVE COMPANY Contribution Margin Income Statement Expected for 1,600 Units Contribution Margin Net Operating Income
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