Mighty Bright Window Cleaners' monthly income statement at several levels of activity is as follows: Windows washed 1,000 2,000 3,000 Sales revenue $ 3,000 $ 6,000 $ 9,000 Cost of goods sold 1,200 2,400 3,600 Gross profit 1,800 3,600 5,400 Operating expenses Advertising expense 400 400 400 Salaries and wages expense 700 900 1,100 Insurance expense 200 200 200 Postage expense 400 800 1,200 Total operating expense 1,700 2,300 2,900 Operating income $ 100 $ 1,300 $ 2,500 contribution margin income statement based on a volume of 2,500 windows (Round unir cosr to 2 decimal 52.75 and al other answers to o decimal places, e.g. 5,275.) 2,500 winddown Par Uni
Mighty Bright Window Cleaners' monthly income statement at several levels of activity is as follows: Windows washed 1,000 2,000 3,000 Sales revenue $ 3,000 $ 6,000 $ 9,000 Cost of goods sold 1,200 2,400 3,600 Gross profit 1,800 3,600 5,400 Operating expenses Advertising expense 400 400 400 Salaries and wages expense 700 900 1,100 Insurance expense 200 200 200 Postage expense 400 800 1,200 Total operating expense 1,700 2,300 2,900 Operating income $ 100 $ 1,300 $ 2,500 contribution margin income statement based on a volume of 2,500 windows (Round unir cosr to 2 decimal 52.75 and al other answers to o decimal places, e.g. 5,275.) 2,500 winddown Par Uni
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Mighty Bright Window Cleaners' monthly income statement at several levels of activity is as follows:
Windows washed
1,000
2,000
3,000
Sales revenue
$ 3,000 $ 6,000 $ 9,000
Cost of goods sold
1,200
2,400
3,600
Gross profit
1,800
3,600
5,400
Operating expenses
Advertising expense
400
400
400
Salaries and wages expense
700
900
1,100
Insurance expense
200
200
200
Postage expense
400
800
1,200
Total operating expense
1,700
2,300
2,900
Operating income
100 $ 1,300 $ 2,500
(b) Prepare a contribution margin income statement based on a volume of 2,500 windows (Round unit cosr to 2 decimal
places, e.g. 52.75 and all other answers to o decimal places, e.g. 5,275.)
2,500 windows
Par Unit
%24
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