Territory and Product Profitability Analysis Coast to Coast Surfooards Inc. manufactures and selis two styes of surfooards. Atlantic Wave and Pacific Pounder. These surfooards are sold in two regient, East Coast and Wert Coast. Ifformation abaut the two surfboards is as followst The sales unit volume for the terntories and products for the period is as follows: a. Prepare a contibution margin by sales territory report, Compute the contribution margin ratio foc each territory as a whole percent, rounded to two decimal places, if required. Coast to Coast 5 urfboards Inc. Contribution Margin by Territory a. Prepare a contribution margin by sales temtory repert. Compute the contribution margin ratio for each ternitory as a whele pertent, reanded fo fwo decimal places, if retquired, Coast to Coast Surfboards Inc, Contribution Margin by Territory b. What adyice would you give to the management of Coast to Cost surfboards regarding the relative profitablity of the tiwo ternitories? The total contribution enargin is foe the East coast, while the contibution margin ratio a For Weit Coast, Thus is becouse East. Coast selis only Atlantic Wave, which have a contribution margn ratio but a coetribution mursia per unit, ft atterpoting to imprave the compary's proftability, it is that changing the mix of preducts to the two territones wili hive much effect. fin addiben, the variable selling expenses per unit for the may be too high