Question: Please complete both parts correctly and i will give a thumbs up. thank you! Big Bikes manufactures and sells mountain bikes in two sales territories,

Big Bikes manufactures and sells mountain bikes in two sales territories, West Coast and East Coast. Information for the year follows. The company sold 560 bikes in each territory. Per unit West Coast Sales price $ 1,600 $ 1,500 Variable cost of goods sold 860 Variable selling and administrative expenses 180 a. Compute contribution margin (in dollars) for each sales territory. b. Compute contribution margin ratio for each sales territory. Which sales territory has the better contribution margin ratio? East Coast 860 78 Complete this question by entering your answers in the tabs below. Required A Required B Compute contribution margin (in dollars) for each sales territory. West Coast East Coast Variable expenses Contribution margin Required > Big Bikes manufactures and sells mountain bikes in two sales territories, West Coast and East Coast, Information for the year follows. The company sold 560 bikes in each territory. Per unit West Coast Sales price East Coast $ 1,600 $1,500 Variable cost of goods sold 860 860 Variable selling and administrative expenses 180 70 a. Compute contribution margin (in dollars) for each sales territory b. Compute contribution margin ratio for each sales territory, which sales territory has the better contribution margin ratio? Complete this question by entering your answers in the tabs below. Required A Required B Compute contribution margin ratio for each sales territory. Which sales territory has the better contribution margin ratio? (Round your answers to 1 decimal place.) East Coast West Coast Contribution margin ratio Which sales territory has the better contribution margin ratio? Required A
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
