Saved SO Help led Homework Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Product Neodban Greengrow Selling price per unit $9.00 $ 37.00 Variable expenses per unit $ 2.40 $14.00 Traceable Esxed expongon per year $ 133,000 $40.000 Last year the company produced and sold 40,000 units of Weedban and 22,500 units of Greengrow. Its annual common fixed expenses are $103,000 Required: Prepare a contribution format income statement segmented by product lines: Product Line Total Company Woodban Ofangrow ! Required Information SB Exercise 7-16 through Exercise 7-17 (Algo) [The following information applies to the questions displayed below.) Raner, Harris & Chan is a consulting firm that specializes in information systems for medical and dental clinics. The firm has two offices-one in Chicago and one in Minneapolis. The firm classifies the direct costs of consulting jobs as variable costs. A contribution format segmented income statement for the company's most recent year is given ortica Total Company Chicago Minneapoli Sales S 510.000 1001 $100,000 TOO $ 330,000 Variable experien 255.000 503 54,000 30 190.000 Contribution margin 255,000 SOS 126.000 700 132.000 Tenceable fixed expenses 142.000 205 3,600 52.300 of Elco soment nargin 112.200 220 32,400 10 79.200 Common Exod expense not traceable to offices 71,00 Not operating income 100 601 400 201 Exercise 7-17 (Algo) Working with a Segmented Income Statement (L07-4) Graded Homework Exercise 7-17 (Algo) Working with a Segmented Income Statement (L07-4) Assume that Minneapolis' sales by major market are: Market Minneapolis Med on Dental Sales 330,000 1008 240.000 1900 $140,000 1008 Variable expenses 190.000 601 153,600 72.000 520 Contribution margin 132.000 400 6,400 361 67,200 Traceable fixed expensen 52.800 160 10.000 29.000 210 Ottico segment margin 99,200 241 72.000 30 $ 37,80 270 Common fixed expenses not traceable to oftlens 25,000 5 Bet operating Income 64,200 19 The company would like to initiate an intensive advertising campaign in one of the two market segments during the next month. The campaign would cost $15.000. Marketing studies indicate that such a campaign would increase sales in the Medical market by $60,000 or increase sales in the Dental market by $65,000 Required: 1. How much would the company's profits increase (decrease) If it implemented the advertising campaign in the Medical Market? 2. How much would the company's profits increase (decrease) implemented the advertising campaign in the Dental Market? 3, in which of the markets would you recommend that the company focus its advertising campaign? Required information 2. How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Dental Me 3. In which of the markets would you recommend that the company focus its advertising campaign? Complete this question by entering your answers in the tabs below. Required Required 2 Required 3 How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Dental Market? Company's profits by Required information Required: 1. How much would the company's profits increase (decrease) If It Implemented the advertising campaign in the Medical 2. How much would the company's profits increase (decrease) if It Implemented the advertising campaign in the Dental 3. In which of the markets would you recommend that the company focus its advertising campaign? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 In which of the markets would you recommend that the company focus its advertising campaign? Medical Detail
