RUSH

1) CrossTalk Communications has this variable costing Income Statement:

Sales revenue	$70,000
Variable costs	44,000
Contribution margin	$26,000
Fixed costs	15,000
Net income	$11,000

The markup on variable cost is

Group of answer choices

$26,000

$41,000

$52,000

$11,000

2) CrossTalk Communications has this absorption costing Income Statement:

Sales revenue	$70,000
Cost of goods sold	50,000
Gross profit	$20,000
Operating expenses	9,000
Net income	$11,000

The markup percentage on product cost is (approximately)

Group of answer choices

40%

22%

72%

29%