Family Furniture Co. has two divisions: bedroom division and dining room division. The results of operations for

Question:

Family Furniture Co. has two divisions: bedroom division and dining room division. The results of operations for the most recent quarter are as follows:
__________________ Bedroom Division _____________ Dining Room Division
Sales ........................ $500,000 ................................. $750,000
Variable costs .............. 250,000 ................................... 450,000
...... $250,000 ............................... $300,000
Determine the company's weighted-average ratio?
Contribution Margin
Contribution margin is an important element of cost volume profit analysis that managers carry out to assess the maximum number of units that are required to be at the breakeven point. Contribution margin is the profit before fixed cost and taxes...