Riverside Inc. makes one model of wooden canoe. Partial information for it follows: Number of Canoes...

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Riverside Inc. makes one model of wooden canoe. Partial information for it follows: Number of Canoes Produced and Sold 550 750 900 Total costs Variable costs $115,500 $157,500 $189,000 Fixed costs Total costs 198,000 198,000 $313,500 $355,500 $387,000 198,000 Cost per unit Variable cost per unit $ 210.00 Fixed cost per unit 360.00 $ 210.00 264.00 ok Total cost per unit $ 210.00 220.00 $430.00 t D ences $ 570.00 $ 474.00 Riverside sells its canoes for $650 each. Next year Riverside expects to sell 1,000 canoes. Required: Complete the Riverside's contribution margin income statement for each independent scenario. Assuming each scenario is a variation of Riverside's original data. (Round your unit contribution margin and contribution margin ratio to 2 decimal places (i.e..1234 should be entered as 12.34%) and all other answers to the nearest dollar amount.) Scenario 1 Raises Sales Price to $750 per Canoe Scenario 2 Increase Sales Price and Variable Cost per Unit by 10 Percent Scenario 3 Decrease Fixed Cost by 20 Percent Unit Contribution Margin Contribution Margin Ratio Contribution Margin Net Operating Income % Contribution Margin Income Statement % Riverside Inc. makes one model of wooden canoe. Partial information for it follows: Number of Canoes Produced and Sold 550 750 900 Total costs Variable costs $115,500 $157,500 $189,000 Fixed costs Total costs 198,000 198,000 $313,500 $355,500 $387,000 198,000 Cost per unit Variable cost per unit $ 210.00 Fixed cost per unit 360.00 $ 210.00 264.00 ok Total cost per unit $ 210.00 220.00 $430.00 t D ences $ 570.00 $ 474.00 Riverside sells its canoes for $650 each. Next year Riverside expects to sell 1,000 canoes. Required: Complete the Riverside's contribution margin income statement for each independent scenario. Assuming each scenario is a variation of Riverside's original data. (Round your unit contribution margin and contribution margin ratio to 2 decimal places (i.e..1234 should be entered as 12.34%) and all other answers to the nearest dollar amount.) Scenario 1 Raises Sales Price to $750 per Canoe Scenario 2 Increase Sales Price and Variable Cost per Unit by 10 Percent Scenario 3 Decrease Fixed Cost by 20 Percent Unit Contribution Margin Contribution Margin Ratio Contribution Margin Net Operating Income % Contribution Margin Income Statement %

Answer rating: 100% (QA)

Scenario 1 Raises Sales Price to 750 per Canoe Unit Contribution Margin Sales Price 750 Total Cost p... View the full answer