Do Homework Amber Reicks Secure https://www.mathxl.com/Student/PlayerHomework.aspx?homeworkld=43243770 1 &questionid=9&flushed=true&cld=4521407¢erwi ACC241 Uses of Accounting Information - Summer B - 2017 Amber Reicks7/23/17 4:36 PM Homework: Chapter 6

Do Homework Amber Reicks Secure https://www.mathxl.com/Student/PlayerHomework.aspx?homeworkld=43243770 1 &questionid=9&flushed=true&cld=4521407&centerwi ACC241 Uses of Accounting Information - Summer B - 2017 Amber Reicks7/23/17 4:36 PM Homework: Chapter 6 Homework (required) Save Score: 0 of 1 pt 9 of 10 (10 complete) Hw Score: 80%, 8 of 10 pts E6-35A (similar to) Question Help Elegant Elephants is a specialty pet gift store selling exotic pet-related items through its website. Elegant Elephants has no physical store; all sales are through its website. Results for last year are shown next: EE (Click the icon to view the results.) For internal planning and decision-making purposes, the owner of Elegant Elephants would like to translate the company's income statement into the contribution margin format. Since Elegant Elephants is web-based, all of its cost of goods sold is variable. A large portion of the selling and marketing expenses consists of freight-out charges ($20,000), which were also variable. Only 20% of the remaining selling and marketing expenses and 25% of the website expenses were variable. Of the other operating expenses, 90% were fixed. Based on this information, prepare Elegant Elephants' contribution margin income statement for last year. For the Year Ended December 31 Sales revenue $1,005,000 Less Variable expenses 665,000 Cost of goods sold Variable selling and marketing expenses Variable website maintenance expenses Other variable operating expenses Contribution margin Less: Fixed expenses Fixed selling and marketing expenses Fixed website maintenance expenses Other fixed operating expenses $ 202,000 Operating income Choose from any list or enter any number in the input fields and then click Check Answer All parts showing Clear All Final Check