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Ternitory and Product Profitability Analysis: Pipeline Surfboards Inc, manufactures and selis two styles of surfboards, Atlantic Wave and Pacfic Pounder. These surfboards are sold in

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Ternitory and Product Profitability Analysis: Pipeline Surfboards Inc, manufactures and selis two styles of surfboards, Atlantic Wave and Pacfic Pounder. These surfboards are sold in two regions, East Coast and West Coast. Information about the two surfboards is as follows: The sales unit volume for the sales terntories and products for the period is as follows: a. Prepare a contribution margin by sales terntory report. Compute the contribution margin ratio for each territory. Round contribution margin ratio answers to two decimal places. Pipeline Surfboards Inc. Contribution Margin by Territory a. Prepare a contribution margin by sales territory report. Compute the contribution margin ratio for each territory, Round contribution margin ratio answers to two decimal places. Pipeline Surfboards Inc. Contribution Margin by Territory b. What advice would you give to the management of Pipeline Surtboards regarding the relative profitability of the two territories? The total contribution margin is for the East Coast, while the contribution margin ratio is for West Coast. This is because East Coast sells only. Atiantic Wave, which have a contributian margin per unit. If attempting to improve the company's profitability, it is: that changing the mix of products to the two territories will have much effecti. If addition, the variable seiling expenses per unit for the may be too high

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