Wonderland Pool Cleaning Service Income Statement For the Month Ended July 31, 2018 Byson Molden Filip Total Service Revenue Variable Costs Contribution Margin Fixed Costs Operating Income 9,000 $ 3,600 5,400 5,000 $17,000 7,000 10,000 1,000 9,000 3,000 $ 900 2,500 2,100 2,500 each Wonderland Pool Cleaning Service provides pool cleaning services to residential customers. The company has three employees, each assigned to specific customers. The company considers each employee's territory as a business segment. The company incurs variable costs that include the employees' wages, pool chemicals, and gas for the service vans. Fixed costs include depreciation on the service vans. Following is the income statement for the month of July: Click the icon to eans The company incurs variabas Click the icon to view the income statement.) Read the requirements Requirement 1. Calculate the contribution margin ratio for each business segment Contribution margin ratio Byson Molden Filip Requirement 2. The business segments had the following numbers of customers: Byson, 90; Molden, 30; and Filip, 50. Compute the service revenue per customer, variable cost per customer, and contribution margin per customer for each business segment. Service revenue Variable costs Contribution margin per customer per customer per customer Byson Molden Filip Kequirement 3. vv nicn business segrment was most pronabie? List some possible reasons wnytnis segment was most proritaple. How mignt tne various reasons aTTectme company in the long term? The Possible reasons for the profitability of this business segment include the following: (Select all that apply.) A. Lengthy routes with longer drive times allowing fewer customers to be served in the most profitable business segment Vbusiness segment was the most profitable because the B. Employees in the most profitable business segment cutting corners when performing service calls C. Lower revenue per customer in the most profitable business segment D. Higher employee wages in the most profitable business segment E. Higher revenue per customer in the most profitable business segment F. Reducing the amount of pool chemicals used in service calls for the most profitable business segment G. Lower employee wages in the most profitable business segment H. Better routes with shorter drive times allowing more customers to be served in the most profitable business segment How might the various reasons affect the company in the long term? The possible side effects of the items identified in the preceding step could be (Select all that apply.) A. increased employee turnover because of low wages. B. dissatisfied customers because of inadequate service. C. increased customer base due to competitive service prices. D. increased service costs because of reduced pool chemical usage causing poor water quality and additional service calls. E. less fuel and maintenance costs because of lengthier routes. F. highly compensated employees resulting in an increase in contribution margin. G. less fuel and maintenance costs because of efficient routes