Selling price per unit $152 $152 Variable costs per unit Direct materials $27.00 $27.00 Direct labor 7.00 25.00 Overhead 7.00 25.00 Selling and administrative 2.00 2.00 Annual fixed costs Overhead $492,600 Selling and administrative 138,000 $237,000 138,000 Required: a. Compute the contribution margin per unit for each company. b. Prepare a contribution Income statement for each company assuming each company sells 7,100 units. Answer is not complete. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a contribution income statement for each company assuming each company sells 7,100 units. Note: Amounts to be deducted should be indicated by a minus sign. Revenue Less variable costs: Direct materials Direct labor Overhead Selling and administrative expenses Less fixed costs: Net loss Microsoft Game Sony Game
Selling price per unit $152 $152 Variable costs per unit Direct materials $27.00 $27.00 Direct labor 7.00 25.00 Overhead 7.00 25.00 Selling and administrative 2.00 2.00 Annual fixed costs Overhead $492,600 Selling and administrative 138,000 $237,000 138,000 Required: a. Compute the contribution margin per unit for each company. b. Prepare a contribution Income statement for each company assuming each company sells 7,100 units. Answer is not complete. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a contribution income statement for each company assuming each company sells 7,100 units. Note: Amounts to be deducted should be indicated by a minus sign. Revenue Less variable costs: Direct materials Direct labor Overhead Selling and administrative expenses Less fixed costs: Net loss Microsoft Game Sony Game
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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