Question: Below is an incomplete contribution margin income statement for Barry's Coffee Cakes. Use this information to answer the following questions. BARRY'S COFFEE CAKES Contribution Margin

Below is an incomplete contribution margin income statement for Barry's Coffee Cakes. Use this information to answer the following questions. BARRY'S COFFEE CAKES Contribution Margin Income Statement 20,000 units 25,000 units Total Percents of Sales Per Unit Sales revenue Less: Variable costs Contribution margin Less: Fixed costs Net operating income Total $150,000 se.000 100,000 30.000 $ 70,000 LI 1 Knowledge Check 01 What is the unit contribution margin? $7.50 $2.50 $5.00 $3.00 Knowledge Check 02 What is the contribution margin ratio? 33% 50% 40% 67% Knowledge Check 03 If there is no change in fixed costs, what w net operating income be when 25,000 units are sold? $95.000 $125.000 $70,000 $87.500
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
