Question
Royal Lawncare Company produces and sells two packaged productsWeedban and Greengrow. Revenue and cost information relating to the products follow: Product Weedban Greengrow Selling price
Royal Lawncare Company produces and sells two packaged productsWeedban and Greengrow. Revenue and cost information relating to the products follow:
| Product | ||||
| Weedban | Greengrow | |||
| Selling price per unit | $ | 11.00 | $ | 39.00 |
| Variable expenses per unit | $ | 2.50 | $ | 13.00 |
| Traceable fixed expenses per year | $ | 129,000 | $ | 32,000 |
Last year the company produced and sold 41,000 units of Weedban and 17,500 units of Greengrow. Its annual common fixed expenses are $102,000.
Required:
Prepare a contribution format income statement segmented by product lines.
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Chemical Principles
Authors: Steven S. Zumdahl, Donald J. DeCoste
7th edition
978-1111580650
