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Riverside Inc. makes one model of wooden canoe. Partial information for it follows: Number of Canoes Produced and Sold 450 650 800 Total costs Variable

Riverside Inc. makes one model of wooden canoe. Partial information for it follows:

Number of Canoes Produced and Sold 450 650 800
Total costs
Variable costs $ 63,000 $ 91,000 $ 112,000
Fixed costs 187,200 187,200 187,200
Total costs $ 250,200 $ 278,200 $ 299,200
Cost per unit
Variable cost per unit $ 140.00 $ 140.00 $ 140.00
Fixed cost per unit 416.00 288.00 234.00
Total cost per unit $ 556.00 $ 428.00 $ 374.00

Riverside sells its canoes for $700 each. Next year Riverside expects to sell 1,000 canoes. Required: Complete the Riversides contribution margin income statement for each independent scenario. Assuming each scenario is a variation of Riversides original data. (Round your unit contribution margin and contribution margin ratio to two decimal places (i.e. .1234 should be entered as 12.34%) and all other answers to the nearest dollar amount.)

Scenario 1 Raises Sales Price to $800 per Canoe Scenario 2 Increase Sales Price and Variable Cost per Unit by 10 Percent Scenario 3 Decrease Fixed Cost by 20 Percent
Unit Contribution Margin
Contribution Margin Ratio % % %
Contribution Margin Income Statement
Contribution Margin
Net Operating Income

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