Percentage of total sales Sales Variable expenses Contribution margin. Fixed expenses Net operating income Dollar sales...
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Percentage of total sales Sales Variable expenses Contribution margin. Fixed expenses Net operating income Dollar sales to break-even Fixed Percentage of total sales Sales Variable expenses Contribution margin Fixed expenses Net operating income $ $ 355,200 106,560 $ 248,640 expenses CM ratio White 48 % White % 0 100 % 30% 70% do do % $ 148,000 118,400 29,600 $ $231,920 0.52 Required: 1. Prepare a contribution format income statement for the month based on the actual sales data. 2. Compute the break-even point in dollar sales for the month based on your actual data. Prepare a contribution format income statement for the month based on the actual sales data. Gold Star Rice, Ltd. Contribution Income Statement Product Fragrant % 0% $ Fragrant 20 % As shown by these data, net operating income is budgeted at $152,880 for the month and the estimated break-even sales is $446,000. $446,000 Assume that actual sales for the month total $740,000 as planned. Actual sales by product are: White, $236,800; Fragrant, $296,000; and Loonzain, $207,200. 0 Product 100 % $ 236,800 80% 130,240 20 % $ 106,560 % 0% $ Loonzain 32% Loonzain % 0 100 % 55% 45 % % % 0% $ 740,000 355,200 384,800 231,920 $152,880 $ Total 100 % Total 100 % 0 100 % 48 % 52% 0 Percentage of total sales Sales Variable expenses Contribution margin. Fixed expenses Net operating income Dollar sales to break-even Fixed Percentage of total sales Sales Variable expenses Contribution margin Fixed expenses Net operating income $ $ 355,200 106,560 $ 248,640 expenses CM ratio White 48 % White % 0 100 % 30% 70% do do % $ 148,000 118,400 29,600 $ $231,920 0.52 Required: 1. Prepare a contribution format income statement for the month based on the actual sales data. 2. Compute the break-even point in dollar sales for the month based on your actual data. Prepare a contribution format income statement for the month based on the actual sales data. Gold Star Rice, Ltd. Contribution Income Statement Product Fragrant % 0% $ Fragrant 20 % As shown by these data, net operating income is budgeted at $152,880 for the month and the estimated break-even sales is $446,000. $446,000 Assume that actual sales for the month total $740,000 as planned. Actual sales by product are: White, $236,800; Fragrant, $296,000; and Loonzain, $207,200. 0 Product 100 % $ 236,800 80% 130,240 20 % $ 106,560 % 0% $ Loonzain 32% Loonzain % 0 100 % 55% 45 % % % 0% $ 740,000 355,200 384,800 231,920 $152,880 $ Total 100 % Total 100 % 0 100 % 48 % 52% 0
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