The Peterson company incurred the following revenue and costs in the month of May: Sales Revenue S 57,000 Direct Materials $12,000 Variable Selling Costs $5,000 Direct labor paid $9,000 Mfg. Plant Utility Costs $19,000 Fixed Adv. Costs $2,000 1. The company's gross margin is? 2. If $10,000 of the mfg plant utility costs were fixed (and rest variable) the the Contribution Margin was? 3. If companys revenue is $ 530,000, profit before taxes $98000, and product costs are $390,000 then the companys period costs total is? 4. If fixed Costs are $15,000, operating income is $55, 000, revenues are $160,000, variable costs are $ 90,000, total Contribution Margin is?

The Peterson company incurred the following revenue and costs in the month of May: Sales Revenue S 57,000 Direct Materials $12,000 Variable Selling Costs $5,000 Direct labor paid $9,000 Mfg. Plant Utility Costs $19,000 Fixed Adv. Costs $2,000 1. The company's gross margin is? 2. If $10,000 of the mfg plant utility costs were fixed (and rest variable) the the Contribution Margin was? 3. If companys revenue is $ 530,000, profit before taxes $98000, and product costs are $390,000 then the companys period costs total is? 4. If fixed Costs are $15,000, operating income is $55, 000, revenues are $160,000, variable costs are $ 90,000, total Contribution Margin is?

Cornerstones of Cost Management (Cornerstones Series)

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ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter7: Allocating Costs Of Support Departments And Joint Products

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Question

The Peterson company incurred the following revenue and costs in the month of May: Sales Revenue S
57,000 Direct Materials $12,000 Variable Selling Costs $5,000 Direct labor paid $9,000 Mfg. Plant Utility
Costs $19,000 Fixed Adv. Costs $2,000 1. The company's gross margin is? 2. If $10,000 of the mfg plant
utility costs were fixed (and rest variable) the the Contribution Margin was? 3. If companys revenue is $
530,000, profit before taxes $98000, and product costs are $390,000 then the companys period costs total
is? 4. If fixed Costs are $15,000, operating income is $55, 000, revenues are $160,000, variable costs are $
90,000, total Contribution Margin is?

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