Question: 5 Contribution Margin by Segment The following information is for LaPlanche Industries Inc.: East West Sales volume (units): Product XX 45,000 38,000 Product YY 60,000

5

Contribution Margin by Segment

The following information is for LaPlanche Industries Inc.:

East West
Sales volume (units):
Product XX 45,000 38,000
Product YY 60,000 50,000
Sales price:
Product XX $700 $660
Product YY $728 $720
Variable cost per unit:
Product XX $336 $336
Product YY $360 $360

a. Determine the contribution margin for the Product YY. $

b. Determine the contribution margin for the West Region. $

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