Question
Selling price per racket $ 65.00 $ 100.00 $ 145.00 Variable expenses per racket: Production $ 39.00 $ 42.00 $ 58.00 Selling (5% of selling
| Selling price per racket | $ 65.00 | $ 100.00 | $ 145.00 |
|---|---|---|---|
| Variable expenses per racket: | |||
| Production | $ 39.00 | $ 42.00 | $ 58.00 |
| Selling (5% of selling price) | $ 3.25 | $ 5.00 | $ 7.25 |
Fixed production costs $150,000
Advertising expense $130,000
Administrative salaries $80,000
Total $360,000
| Standard | Deluxe | Pro | Total | |
|---|---|---|---|---|
| April | 2,000 | 1,000 | 5,000 | 8,000 |
| May | 8,000 | 1,000 | 3,000 | 12,000 |
Q 1a Prepare contribution format income statements for April.
Q 1b Prepare contribution format income statements for May.
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Managerial Accounting
Authors: Peter Brewer, Ray Garrison, Eric Noreen, Suresh Kalagnanam, Ganesh Vaidyanathan
5th Edition
1259256081, 978-1259256080
