Question: Everything else is correct, but don't understand the last part. Thanks!! Island Novelties, Inc., of Palau makes two products, Hawaiian Fantasy and Tahitian Joy. Present

Everything else is correct, but don't understand the last part. Thanks!! IslandNovelties, Inc., of Palau makes two products, Hawaiian Fantasy and Tahitian Joy.Present revenue, cost, and sales data for the two products follow: Sellingprice per unit Variable expenses per unit Number of units sold annuallyEverything else is correct, but don't understand the last part. Thanks!!

Island Novelties, Inc., of Palau makes two products, Hawaiian Fantasy and Tahitian Joy. Present revenue, cost, and sales data for the two products follow: Selling price per unit Variable expenses per unit Number of units sold annually Hawaiian Tahitian Fantasy Joy $20 $ 140 $9 $ 35 18,000 6,000 Fixed expenses total $710,700 per year. Required 1. Assuming the sales mix given above, do the following: a. Prepare a contribution format income statement showing both dollar and percent columns for each product and for the company as a whole. Island Novelties, Inc., Contribution Income Statement Hawaiian FantaS Tahitian Joy Total Amount % Amount 840,000 210,000 630,000 Amount Sales Variable expenses Contribution margin Fixed expenses Net operating income $360,000 100 % $ 100% $ 1,200,000 372,000 828,000 710,700 $117,300 100 % 31% 69% 162,000 45 % 25% $198,000 55% 75% 2016-0.9.38 AM 20162 2/3/16

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