Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Sibling Furniture Company manufacturers and sells oak tables and chairs. Price and cost data for the furniture follow. Sibling Furniture Company manufactures and sells oak
Sibling Furniture Company manufacturers and sells oak tables and chairs. Price and cost data for the furniture follow.
Sibling Furniture Company manufactures and sells oak tables and chairs. Price and cost data for the furniture follow click the icon to view the price and cost data) Sibling Furniture has three sales representatives: Archie, Bryce, and Cory. Archie sold 90 tables with 8 chairs each. Bryce sold 110 tables with 4 chairs each Cory sold 100 tables with 6 chairs each. Read the requirements Requirement 1. Calculate the total contribution margin and the contribution margin ratio for each sales representative (round to two decimal places) Before calculating the total contribution margin, begin by identifying and calculating the total number of tables and chairs sold by each sales representative for the period. Sales representative Tables sold Chairs per table Total chairs sold Archie Tables Chairs Sales Price Variable manufacturing costs Sales commission (10%) 600 S 480 60 60 12 6 1. Calculate the total contribution margin and the contribution margin ratio for each sales representative (round to two decimal places). 2. Which sales representative has the highest contribution margin ratio? Explain why
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started