Prepare a contribution margin format income statement for


Question - Westerville Buckeye Company produces and sells two products. Revenue and cost information by product for the current year is as follows:

Product A Product B

Selling price per product $10 $20

Variable expenses per product 4 15

Traceable fixed expenses per year 110,000 35,000

Annual common fixed expenses for the company totals $100,000. During the year Westerville Buckeye sold 35,000 units of Product A and 20,000 units of Product B.

Prepare a contribution margin format income statement for the year by product and provide the segment margin for Product A and the segment margin for Product B.

Solution Preview :

Prepared by a verified Expert
Accounting Basics: Prepare a contribution margin format income statement for
Reference No:- TGS02715930

Now Priced at $25 (50% Discount)

Recommended (98%)

Rated (4.3/5)