Ace Company sells a variety of merchandise and wants to evaluate contribution margin by product line for the Plumbing, Outdoor Products, and Hardware departments. Gross profit for each of these departments was $285,000; $78,000 and $137,000, respectively. Direct expenses for each department were $136,000; $37,000; and $72,000, respectively. Indirect expenses were allocated to each department at 60% of the direct expense for each segment. The contribution margin of Plumbing was:

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The Answer of Ace Company sells a variety of merchandise and wants to evaluate contribution margin by product line for the Plumbing, Outdoor Products, and Hardware departments. Gross profit for each of these departments was $285,000; $78,000 and $137,000, respectively. Direct expenses for each department were $136,000; $37,000; and $72,000, respectively. Indirect expenses were allocated to each department at 60% of the direct expense for each segment. The contribution margin of Plumbing was:

Ace Company Sells a Variety of Merchandise and Wants to Evaluate