Required: . Complete Presidio's cost data table. 2. Calculate Presidio's contribution margin ratio and its total contribution margin at each sales level indicated in the cost data table assuming the company sells each bike for $640. 3. Calculate net operating income (loss) at each of the sales levels assuming a sales price of $640.
Required: . Complete Presidio's cost data table. 2. Calculate Presidio's contribution margin ratio and its total contribution margin at each sales level indicated in the cost data table assuming the company sells each bike for $640. 3. Calculate net operating income (loss) at each of the sales levels assuming a sales price of $640.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Presidio, Inc., produces one model of mountain bike. Partial information for the company follows:
Required:
1. Complete Presidio's cost data table.
2. Calculate Presidio's contribution margin ratio and its total contribution margin at each sales level indicated in the cost data table
assuming the company sells each bike for $640.
3. Calculate net operating income (loss) at each of the sales levels assuming a sales price of $640.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2
Required 3
Complete Presidio's cost data table. (Round your Cost per Unit answers to 2 decimal places.)
Bikes Produced and Sold
720 Units
890 Units
1,884 Units
Total costs
Variable costs
$
180,000
Fixed costs per year
Total costs
$
180,000 $
0 $
0
Cost per unit
Variable cost per unit
Fixed cost per unit
Total cost per unit
$
0.00 $
554.00
$
0.00
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