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Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Product Weedban Greengrow Selling price
Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Product Weedban Greengrow Selling price per unit Variable expenses per unit Traceable fixed expenses per year $ 10.00 35.00 $ 3.10 13.00 $ 133,000 34,000 Common fixed expenses in the company total $114,000 annually. Last year the company produced and sold 39,000 units of Weedban and 21,000 units of Greengrow Required: Prepare a contribution format income statement segmented by product lines Product Line Total Company Weedban Greengrow $ 1,125,000390,000 S 735,000 273,000 462,000 1,232,700,000 5,187,000,000 714,000,000 Sales ariable expenses 393,900 120,900 Contribution margin 731,100 269,100 raceable fixed expenses Product line segment margin (1.231,968,900) 586.730,900) (713,538,000 ommon fixed expenses not traceable to roducts Net operating loss (1,231,968,900)
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