Brunswick Manufacturing has prepared the following income statement:
According to company records,$50,000 of Cost of Goods Sold and $166,000 of Operating Expenses are fixed.
Required:
A)Compute the contribution margin.
B)Compute the contribution margin ratio.
C)Compute the break-even volume in sales dollars.

Question

Brunswick Manufacturing has prepared the following income statement:
  According to company records,$50,000 of Cost of Goods Sold and $166,000 of Operating Expenses are fixed.
Required: 
A)Compute the contribution margin. 
B)Compute the contribution margin ratio. 
C)Compute the break-even volume in sales dollars.

Quizplus · Accepted Answer

The Answer of Brunswick Manufacturing has prepared the following income statement:
  According to company records,$50,000 of Cost of Goods Sold and $166,000 of Operating Expenses are fixed.
Required: 
A)Compute the contribution margin. 
B)Compute the contribution margin ratio. 
C)Compute the break-even volume in sales dollars.

Brunswick Manufacturing Has Prepared the Following Income Statement