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contribution margin

contribution margin

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Q: What is the contribution margin for TJVTBP218 Corp. for the second quarter? Multiple Choice $244,000 $680,000 $740,000 $200,000 < Prey 24 of 25 Next > MacBook Pro DII DD F1 F3 F5 F7 F8 F9 F10 @ #3 2$ * 2 6 7 8. W Y S F H J K この つ 田 >
Transcribed Image Text:Q: What is the contribution margin for TJVTBP218 Corp. for the second quarter? Multiple Choice $244,000 $680,000 $740,000 $200,000 < Prey 24 of 25 Next > MacBook Pro DII DD F1 F3 F5 F7 F8 F9 F10 @ #3 2$ * 2 6 7 8. W Y S F H J K この つ 田 >
TJVTBP218 Corp.'s income statement for the second quarter of the year is below: TJVTBP218 Corp. Income Statement For Quarter Ended June 30 Sales $880,000 Cost of goods sold 540,000 Gross margin 340,000 Selling and administrative expenses Selling $115,000 Administration 134,000 249,000 Net operating income $ 91,000 On average, a book sells for $55. TJVTBP218's variable selling expenses are $6 per book with the remaining selling expenses being fixed. (ID#71794) TJVTBP218's variable administrative expenses are 5% of sales with the remainder being fixed. Q: What is the contribution margin for TJVTBP218 Corp. for the second quarter?
Transcribed Image Text:TJVTBP218 Corp.'s income statement for the second quarter of the year is below: TJVTBP218 Corp. Income Statement For Quarter Ended June 30 Sales $880,000 Cost of goods sold 540,000 Gross margin 340,000 Selling and administrative expenses Selling $115,000 Administration 134,000 249,000 Net operating income $ 91,000 On average, a book sells for $55. TJVTBP218's variable selling expenses are $6 per book with the remaining selling expenses being fixed. (ID#71794) TJVTBP218's variable administrative expenses are 5% of sales with the remainder being fixed. Q: What is the contribution margin for TJVTBP218 Corp. for the second quarter?
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