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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 | $ | 6.00 | $ | 7.50 | |
Variable expenses per unit | $ | 2.40 | $ | 5.25 | |
Traceable fixed expenses per year | $ | 45,000 | $ | 21,000 | |
Common fixed expenses in the company total $33,000 annually. Last year the company produced and sold 15,000 units of Weedban and 28,000 units of Greengrow.
Required:
Prepare a contribution format income statement segmented by product lines.
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