1) Divided equally between the products. Basic Deluxe Total Contribution margin $ $ $ (2) Allocated entirely to the product identified above. Basic Deluxe Total Contribution margin $ $ $
1) Divided equally between the products. Basic Deluxe Total Contribution margin $ $ $ (2) Allocated entirely to the product identified above. Basic Deluxe Total Contribution margin $ $ $
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Helena Company manufactures and sells two products. Relevant per unit data concerning each product follow.
|
Product
|
||||
|
Basic
|
Deluxe
|
|||
| Selling price | $45.00 | $54.00 | ||
| Variable costs | $29.80 | $30.20 | ||
| Machine hours | 0.40 | 0.70 |
Calculate total contribution margin if the additional 1,050 hours are:
(1) Divided equally between the products.
|
Basic
|
Deluxe
|
Total
|
||||
| Contribution margin | $
|
$
|
$
|
(2) Allocated entirely to the product identified above.
|
Basic
|
Deluxe
|
Total
|
||||
| Contribution margin | $
|
$
|
$
|
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