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Terntory and Product Profitability Analyais Pipeline Surboards Inc. manufactures and selis two styles of surfooards, Atlantic Wave and Pacific Pounder. These surfbosrds are sold in

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Terntory and Product Profitability Analyais Pipeline Surboards Inc. manufactures and selis two styles of surfooards, Atlantic Wave and Pacific Pounder. These surfbosrds are sold in two reglons, East Coast and West Coast, Information about the two sufboards is as follows: The sales unit volume for the sales territaries and products for the period is as follows: a. Prepare a contribution margin by sales teritory report. Compute the contribution margin ratio for esch sertitory. Round contribution margin ratio answers to two decimal places. Pipetine Surfbeards Inc. Contribution Margin by Territery The sales unit volume for the sales territories and products for the period is as follows: a. Prepare a consribution 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 groftablify of the two territories? The totar contribution margin is for the East Coast, while the cantroution maroin ratio it. for West ceast. This is because East coast sels oniv Alantic Wove, which have d contritution margin per unit, in attempting to improve the company's prafabitity, it is that changing the mix of products to the two territorits will have much effect In additon, the variable seling expenses per unit for the may be too Nigh

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