**Sales Territory and Salesperson Profitability Analysis**Havasu Off-Road Inc. manufactures and sells a variety of commercial vehicles in the Northeast and Southwest regions. There are two salespersons assigned to each territory. Higher commission rates go to the most experienced salespersons. The following sales statistics are available for each salesperson:| | Northeast | | Southwest | ||----------------|------------------|----------|-----------------|----------|| | Rene | Steve | Colleen | Paul || **Average per unit:** | | | | || Sales price | $15,500 | $16,000 | $14,000 | $18,000 || Variable cost of goods sold | $9,300 | $8,000 | $8,400 | $9,000 || Commission rate| 10% | 5% | 10% | 5% || Units sold | 60 | 100 | 40 | 90 || Manufacturing margin ratio | 40% | 50% | 40% | 50% |a. 1. Prepare a **contribution margin** by salesperson report. Compute the contribution margin ratio for each salesperson.

Profitability Analysis:This helps in analyzing the profitability of the output produced by the…

Sales Territory and Salesperson Profitability Analysis Havasu Off-Road Inc. manufactures and sells a variety of commercial vehicles in the Northeast and Southwest regions. There are two salespersons assigned to each territory. Higher commission rates go to the most experienced salespersons. The following sales statistics are available for each salesperson: Average per unit Sales price Variable cost of goods sold Commission rate Manufacturing margin ratio Northeast Southwest Rene Steve Colleen Paul $15.500 $16,000 $14,000 $18,000 19,300 $8,000 $8,400 $9,000 10% n 36 a. 1. Prepare a contribution margin by salesperson report. Compute the contribution margin ratio for each salesperson.

Sales Territory and Salesperson Profitability Analysis Havasu Off-Road Inc. manufactures and sells a variety of commercial vehicles in the Northeast and Southwest regions. There are two salespersons assigned to each territory. Higher commission rates go to the most experienced salespersons. The following sales statistics are available for each salesperson: Average per unit Sales price Variable cost of goods sold Commission rate Manufacturing margin ratio Northeast Southwest Rene Steve Colleen Paul $15.500 $16,000 $14,000 $18,000 19,300 $8,000 $8,400 $9,000 10% n 36 a. 1. Prepare a contribution margin by salesperson report. Compute the contribution margin ratio for each salesperson.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Conquistador Hurricane Sales price $4,400 $2,800 Variable cost of goods sold (2,770) (1,880) Manufacturing margin $1,630 $920 Variable selling expenses (706) (444) Contribution margin $924 $476 Fixed expenses (430) (190) Operating income $494 $286 In addition, the following sales unit volume information for the period is as follows: Conquistador Hurricane Sales unit volume 3,600 2,700
Please do not give solution in image format thanku
Territory and Product Profitability Analysis Pipeline Surfboards Inc. manufactures and sells two styles of surfboards, Atlantic Wave and Pacific Pounder. These surfboards are sold in two regions, East Coast and West Coast. Information about the two surfboards is as follows: Atlantic Wave Pacific Pounder Sales price Variable cost of goods sold per unit Manufacturing margin per unit Variable selling expense per unit Contribution margin per unit $250 $200 (93) (92) $157 $108 (112) $45 (52) $56 The sales unit volume for the sales territories and products for the period is as follows: East Coast West Coast Atlantic Wave Pacific Pounder 2,860 0 1,430 1,430 a. Prepare a contribution margin by sales territory report. Compute the contribution margin ratio for each territory. Round contribution margin ratio answers to two decimal places. Pipeline Surfboards Inc. Contribution Margin by Territory Line Item Description Sales East Coast West Coast 715,000 Variable cost of goods sold Manufacturing…
Total Cost Method of Product Pricing Smart Stream Inc. uses the total cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 3,500 units of cell phones are as follows: Variable costs per unit: Fixed costs: Direct materials $ 77 Factory overhead $134,700 Direct labor 35 Selling and administrative expenses 47,300 Factory overhead 23 Selling and administrative expenses 19 Total variable cost per unit $154 Smart Stream desires a profit equal to a 14% return on invested assets of $422,300. a. Determine the total costs and the total cost amount per unit for the production and sale of 3,500 cellular phones. Round the cost per unit to two decimal places. Total cost Total cost amount per unit b. Determine the total cost markup percentage for cellular phones. Round your answer to two decimal places. c. Determine the selling price of cellular phones. Round to the nearest cent. per cellular phone
Accounting
Please do not give solution in image format thanku
9
The following data are for Greasy Gary's Grubhouse: West East Sales volume (units): Hub Cap 14,000 9,000 Gas Can 6,500 18,000 Sales price per unit: Hub Cap $36 $28 Gas Can $22 $31 The variable cost of goods sold per unit Hub Cap $19 $17 Gas Can $9 $14 Variable selling and administrative per unit Hub Cap $ 5 $ 4 Gas Can $ 3 $2 (a) Complete a contribution margin by sales territory and by-product (b) Analyze the statements and comment on what can help the company in terms of profitability, product placement, and territory. List 3 pros and cons to each product and territory.
Required information [The following information applies to the questions displayed below] Sub Station and Planet Sub reported the following selected financial data (5 in thousands). Sub Station's business strategy is to sell the best tasting sandwich with the highest quality ingredients. Planet Sub's business strategy is to sell the lowest cost sub on the planet. Net sales Net Income Total assets, beginning Total assets, ending Choose Numerator Choose Numerator Sub Station Planet Sub $63,171 4,532 43,599 2. Calculate Planet Sub's return on assets, profit margin, and asset turnover ratio. (Enter your answers in thousands of dollars. (L.e. 123,000 should be entered as 123)) Choose Numerator $109,345 23,022 76,283 118,571 Return on Assets Choose Denominator Profit Margin Choose Denominator Asset Turnover Choose Desominator Return on Assets Return on assets Profil Margis Asset Turnover Asset Tunaver 0 4
Sales Mix and Break-Even Sales Dragon Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed costs are $246,400, and the sales mix is 80% bats and 20% gloves. The unit selling price and the unit variable cost for each product are as follows: Unit Selling Price Unit Variable Cost $80 200 Products Bats Gloves a. Compute the break-even sales (units) for the overall enterprise product, E. units b. How many units of each product, baseball bats and baseball gloves, would be sold at the break-even point? Baseball bats Baseball gloves $60 120 units units
Sales Territory and Salesperson Profitability Analysis Havasu Off-Road Inc. manufactures and sells a variety of commercial vehicles in the Northeast and Southwest regions. There are two salespersons assigned to each territory. Higher commission rates go to the most experienced salespersons. The following sales statistics are available for each salesperson: Average per unit: Sales price Variable cost of goods sold Commission rate Units sold Manufacturing margin ratio Contribution margin ratio Rene % Steve % Northeast Rene Colleen Steve % $15,500 $16,000 $14,000 $18,000 $9,300 $8,000 $8,400 $9,000 8% 12% 10% 36 40% $ 24 50% a. 1. Prepare a contribution margin by salesperson report. Compute the contribution margin ratio for each salesperson. Havasu Off-Road Inc. Contribution Margin by Salesperson Paul Southwest Colleen % Paul 40 40% 8% 60 50%
Please help me with correct answer thanku