The following data are from the accounting records of Niles Castings for year 287,000Units produced and soldTotal revenues and costs$250,00063,00038,00020,00045,00012,50033,000Sales revenueDirect naterials costsDirect labor costsVariable manufacturing overheadFixed manufacturing overheadVariable marketing and administrative costsFixed marketing and administrative costsRequired:a. Prepare a gross margin income statement.b. Prepare a contribution margin income statement.Complete this question by entering your answers in the tabs below.Required ARequired BPrepare a contribution margin income statement.Contribution Margin Income Statement< Required ARequireda

The income statement is prepared to estimate the net income or loss incurred during the period.

The following data are from the accounting records of Niles Castings for year 2 Units produced and sold Total revenues and costs Sales revenue Direct naterials costs Direct labor costs Variable manufacturing overhead Fixed manufacturing overhead Variable marketing and adninistrative costs Fixed narketing and administrative costs 87,000 $250,000 63,000 38,000 20,000 45,000 12,500 33,000 Required: a. Prepare a gross margin income statement b. Prepare a contribution margin income statement.

The following data are from the accounting records of Niles Castings for year 2 Units produced and sold Total revenues and costs Sales revenue Direct naterials costs Direct labor costs Variable manufacturing overhead Fixed manufacturing overhead Variable marketing and adninistrative costs Fixed narketing and administrative costs 87,000 $250,000 63,000 38,000 20,000 45,000 12,500 33,000 Required: a. Prepare a gross margin income statement b. Prepare a contribution margin income statement.

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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A. Manufacturing margin? b. Contribution margin? C. Operating income for PhiladelPho's company ?
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Philadelphia Company has the following information for March: Sales $484,795 Variable cost of goods sold 205,574 Fixed manufacturing costs 76,273 Variable selling and administrative expenses 52,568 Fixed selling and administrating expenses 35,254 a. Determine the March manufacturing margin.$fill in the blank 1 b. Determine the March contribution margin.$fill in the blank 2 c. Determine the March income from operations for Philadelphia Company.$fill in the blank 3