contestada

Wight Corporation has provided its contribution format income statement for June. The company produces and sells a single product. Sales (4,500 units) $ 180,000 Variable expenses 81,000 Contribution margin 99,000 Fixed expenses 45,000 Net operating income $ 54,000 If the company sells 4,600 units, its total contribution margin should be closest to

Respuesta :

JeanaShupp

Answer: its total contribution margin should be closest to $ 266,800.

Explanation:

Contribution = (Sales )+  (Variable expenses)

= $180,000+ $81,000

= $261,000

Contribution margin ratio = Contribution  divided by Sales

= [tex]\dfrac{261000}{180000}[/tex]

= 1.45

Now Contrbution for 4,600 units = [tex]\dfrac{Sales\ for \ 4500\ units\times 4600}{4500}\times 1.45[/tex]

[tex]=\dfrac{180000\times4600}{4500}\times1.45\\\\\\=266800[/tex]

its total contribution margin should be closest to $ 266,800.

Otras preguntas