Question: organized Exercise 4.16 (L02) Multiproduct, Contribution Margin Ratio Wilde Home & Garden is into three departments. The following sales and cost data are available for

 organized Exercise 4.16 (L02) Multiproduct, Contribution Margin Ratio Wilde Home &

organized Exercise 4.16 (L02) Multiproduct, Contribution Margin Ratio Wilde Home & Garden is into three departments. The following sales and cost data are available for the prior year: Dept. A Dept. B Dept. C Total Sales Less variable costs Contribution margin Less fixed costs Profit $450,000 270,000 180,000 70,000 $110,000 $600,000 450,000 150,000 90,000 $ 60,000 $750,000 $1,800,000 450,000 1,170,000 300,000 to 630,000 100,000 260,000 $200,000 $ 370,000 bantu Required a. What is the weighted average contribution margin ratio? b. What level of sales is needed to earn a profit of $440,000 assuming the current mix? c. Wilde Home & Garden places an advertisement in the local paper each week. All else equal, which two departments would you emphasize in the advertisement? Explain

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