J Coronado, Ltd. is a local coat retailer. The store’s accountant prepared the following income statement for the month ended January 31:

Sales revenue					$	759,000
Cost of goods sold						313,500
Gross margin						445,500
Operating expenses
Selling expense		$	23,770
Administrative expense			50,710			74,480
Net operating income					$	371,020

Coronado sells its coats for $250 each. Selling expenses consist of fixed costs plus a commission of $6.50 per coat. Administrative expenses consist of fixed costs plus a variable component equal to 5% of sales.

Prepare a contribution format income statement for January. (Round per unit cost to 2 decimal places, e.g. 52.75 and all other answers to 0 decimal places, e.g. 5,275.)

sing the format y = mx + b, develop a cost formula for total expenses. (Round unit cost to 2 decimal places, e.g. 52.75 and all other answers to 0 decimal places, e.g. 5,275.)

Operating expenses =

If 3,300 coats are sold next month, what is the expected total contribution margin? (Round answer to 0 decimal places, e.g. 5,275.)

Contribution margin=

Answer rating: 100% (QA)

A B 1 Number of units sold 759000250 3036 2 Particula... View the full answer