Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Swifty Chance Co. sells computers and video game systems. The business is divided into two divisions along product lines. Variable costing income statements for
Swifty Chance Co. sells computers and video game systems. The business is divided into two divisions along product lines. Variable costing income statements for the current year are presented below: Computers VG Systems Total Sales $854,000 $366,000 $1,220,000 Variable costs 512,400 256,200 768,600 Contribution margin $341,600 $109,800 451,400 Fixed costs 260,850 Net income $190,550 Determine the sales mix and contribution margin ratio for each division. Sales mix Contribution margin ratio Computers VG Systems 70 % 40 40 % de Calculate the company's weighted-average contribution margin ratio. Weighted-average contribution margin ratio % 30 % 30 %
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