Edge Inc.had two products-Le Chaud and Le Frais.Financial data for both the products follow: It had two sale executives-Jack Lynch and Peter Cho.Each executive sold a total of 1,500 units during the month of March,2015.Jack had a sales mix of 70% Le Chaud and 30% Le Frais.Peter had a sales mix of 60% Le Chaud and 40% Le Frais.
-Based on the above information,calculate Jack's total contribution to company profits?
A)$215,750
B)$285,500
C)$242,250
D)$283,200

Question

Edge Inc.had two products-Le Chaud and Le Frais.Financial data for both the products follow:  It had two sale executives-Jack Lynch and Peter Cho.Each executive sold a total of 1,500 units during the month of March,2015.Jack had a sales mix of 70% Le Chaud and 30% Le Frais.Peter had a sales mix of 60% Le Chaud and 40% Le Frais.
-Based on the above information,calculate Jack's total contribution to company profits?
A)$215,750 
B)$285,500 
C)$242,250 
D)$283,200

Quizplus · Accepted Answer

11ea84d1_1177_65b9_83dc_8bac50129e11_TB3006_00 Sale Revenue
(1,050 units × $500 per unit)
 11ea84d1_1177_65ba_83dc_5933eb0ab1e6_TB3006_00 11ea84d1_1177_65bb_83dc_196d812d6dfd_TB3006_00 Variable costs:
Variable manufacturing costs
 11ea84d1_1177_65bc_83dc_4f1eda9fd1e0_TB3006_00 Sale commission
 11ea84d1_1177_65bd_83dc_d92c065e2b07_TB3006_00 Total contribution = $152,250 + $90,000 = $242,250

Edge IncHad Two Products-Le Chaud and Le Frais