Product Profitability Analysis PowerTrain Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVS), the Mountain Monster and Desert Dragon, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Mountain Monster Desert Dragon Sales price $6,000 $4,000 Variable cost of goods sold 3,780 2,680 Manufacturing margin $2,220 $1,320 Variable selling expenses 1,260 480 Contribution margin $960 $840 Fixed expenses 450 340 Income from operations $510 $500 In addition, the following sales unit volume information for the period is as follows: Mountain Monster Desert Dragon Sales unit volume 3,000 2,300 a. Prepare a contribution margin by product report. Calculate the contribution margin ratio for each product as a whole percent.
Q: Dragon Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed…
A: Break even point (BEP): Breakeven is the point where total expenses are equal to total revenue. at…
Q: Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain…
A:
Q: Smart Stream Inc. uses the variable cost method of applying the cost-plus approach to product…
A: Formula: Total variable cost = Variable cost per unit x Number of units produced Multiplying…
Q: Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain…
A: Contribution margin is computed by deducted the variable cost from the sales revenue. In order to…
Q: Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain…
A: Step 1 Contribution margin analysis is being done, to evaluate the profitability of the product , to…
Q: Product profitability analysisPower Train Sports Inc. manufactures and sells two .styles of All…
A: The question is related to Marginal Costing. The Contribution Margin is the difference between…
Q: Sales Mix and Break-Even Sales Dragon Sports Inc. manufactures and sells two products, baseball bats…
A: Overall break even sales units can be calculated by: = Total fixed costs / weighted average…
Q: Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the…
A: Contribution margin ratio = Contribution margin / Sales
Q: Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVS), the…
A: Contribution margin is the amount after deducting variable expenses from sales.
Q: Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain…
A: Contribution Margin Ratio: The contribution margin ratio is the percentage difference between a…
Q: . Prepare a contribution margin by product report. Compute the contribution margin ratio for each…
A: Contribution margin is the excess of sales over variable cost. It is calculated as ; Contribution…
Q: Parker Pottery produces a line of vases and a line of ceramic figurines. Each line uses the same…
A: Sales mix between Vases and Figurines = 1000 : 500 or 2 : 1 Product contribution margin =…
Q: Smart Stream Inc. uses the variable cost concept of applying the cost-plus approach to product…
A: Total variable cost = Variable cost per unit * Units Variable cost markup percentage = (Desired…
Q: Smart Stream Inc. uses the total cost method of applying the cost-plus approach to product pricing.…
A:
Q: laxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVS), the Conquistador…
A: Profitability analysis can be referred to as the evaluation and analysis of the profitability of the…
Q: Office Furniture Inc. sells modular desk units and office chairs in the ratio of 3:2. That is 3 desk…
A: A) Computation of total selling price per composite unit Items Quality Selling price per…
Q: Sea-Jet Companies produces jet skis. Variable direct costs total $ 2,000 per unit. Variable indirect…
A: 6) Sales - Variable cost = Contribution Here, selling price = $5000 per unit Variable cost per unit…
Q: Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain…
A: Sales = Sales unit volume x Sales price Variable cost of goods sold = Sales unit volume x Variable…
Q: Multiple-Product Break-even, Break-Even Sales Revenue Cherry Blossom Products Inc. produces and…
A: The margin of safety is calculated as difference between current sales and break even sales.
Q: Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the…
A: Here in this question, we are required to prepare contribution margin report and contribution margin…
Q: Rosie's Company has three products, P1, P2, and P3. The maximum Rosie's can sell is 66,700 units of…
A: The question is based on the concept of Cost Accounting. In order to select the most profitable…
Q: Sales mix and break-even sales Dragon Sports Inc. manufactures and sells two products, baseball bats…
A: Sales mix: It refers to the relative distribution of the total sales among the number of products…
Q: CVP application—eliminate product from operations? Muscle Beach, Inc.,makes three models of…
A: Hello, since your question has multiple parts we will solve the first question for you. If you the…
Q: Iqbal Corporation produces and sells a single product, has provided its contribution format income…
A: Net operating income is computed by subtracting fixed cost from total contribution margin. Variable…
Q: Product Cost Concept of Product Costing MyPhone Inc. uses the product cost concept of applying the…
A: a). Total variable costs (5,310 units * $148) = $785880Variable cost amount per unit = $148 c ).…
Q: Dragon Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed…
A: Contribution margin: Deducting variable cost from the sales price called Contribution margin.…
Q: Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain…
A: Variable costs are those costs which changes with changes in level of activity. Contribution margin…
Q: Flagstaff Tractor sells two products, large tractors and small tractors. A large tractor sells for…
A: Large Tractor Small Tractor Total Selling price $ 120,000 $ 82,500 Less:…
Q: Kirk Co. manufactures mobile cellular equipment and develops a price for the product by using a…
A: Cost volume profit analysis is a technique used by the business entity for analysis. It includes…
Q: a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each…
A: Contribution= Sales - variable cost Contribution Margin ratio= ContributionSales
Q: Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVS), the Conquis-…
A: The contribution margin can be stated on a gross or per-unit basis. It shows the additional money…
Q: Sales Mix and Break-Even Sales Dragon Sports Inc. manufactures and sells two products, baseball bats…
A: Breakeven Point = Fixed cost / Weighted average Contribution margin So we need to calculate the…
Q: Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain…
A: The contribution margin is the amount of sales revenue left after deducting the variable expenses.…
Q: Karera Bicycle shop sells 21-speed bicycles. For purposes of a cost-volume profit analysis, the shop…
A: Weighted average unit contribution margin refers to the average amount contributed by a compile…
Q: Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the…
A: Contribution Margin Ratio: The contribution margin ratio shows the amount of difference in the…
Q: Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVS), the…
A: Contribution margin is the amount an entity has, after deducting variable expenses from sales. The…
Q: Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the…
A: Formula;Contribution = Sales revenue-Variable costs
Q: Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain…
A: It is a means of Evaluating Profits on a Per-Product Basis. It can tell you which products has lower…
Q: Hermosa, Ic., produces one model of mountain bike. Partial information for the company follows:…
A: Formulas: Contribution margin ratio = Contribution margin / sales Contribution margin = Sales -…
Q: Cherry Blossom Products Inc. produces and sells yoga-training products: how-to DVDs and a basic…
A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…
Q: Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVS), the…
A: Contribution margin ratio = Contribution margin / Sales where, Contribution margin = Sales - Total…
Q: Smart Stream Inc. uses the total cost method of applying the cost-plus approach to product pricing.…
A: Total Fixed Costs = Factory Overhead + Selling and Administrative Expenses= $350,000 + $140,000=…
Q: Product pricing using cost plus Approach methods; Different analysis for accepting additional…
A: Hi student Since there are multiple subparts, we will answer only first three subparts. If you want…
Q: Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain…
A: CALCULATIONS : S.NO PARTICULARS CONQUISTADOR HURRICANE 1. SALES $5,400 PER UNIT X 2,000…
Q: Parker Pottery produces a line of vases and a line of ceramic figurines. Each line uses the same…
A: Break-even analysis is a technique used widely by production management. It helps to determine the…
Q: Cherry Blossom Products Inc. produces and sells yoga-training products: how-to DVDs and a basic…
A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain…
A: In this numerical has covered the concept of Contribution margin ratio. Contribution Margin Ratio is…
Q: Total Cost Concept of Product Pricing Smart Stream Inc. uses the total cost concept of applying the…
A: Selling and administrative expenses are referred to as operating expenses. These are not included in…
Q: Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain…
A: Contribution margin ratio = Contribution margin/Sales
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Conquistador Hurricane Sales price $5,000 $3,200 Variable cost of goods sold (3,150) (2,140) Manufacturing margin $1,850 $1,060 Variable selling expenses (800) (484) Contribution margin $1,050 $576 Fixed expenses (490) (230) Operating income $560 $346 In addition, the following sales unit volume information for the period is as follows: Conquistador Hurricane Sales unit volume 3,200 2,400 a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each product as a whole percent. Galaxy Sports Inc. Contribution Margin by Product Conquistador Hurricane…Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVS), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Conquistador Hurricane Sales price $5,600 $3,400 Variable cost of goods sold (3,530) (2,280) Manufacturing margin $2,070 $1,120 Variable selling expenses (1,174) (610) Contribution margin $896 $510 Fixed expenses (420) (200) Operating income $476 $310 In addition, the following sales unit volume information for the period is as follows: Conquistador Hurricane Sales unit volume 2,100 1,500 a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each product as a whole percent. Galaxy Sports Inc. Contribution Margin by ProductProduct Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Conquistador Hurricane Sales price $4,600 $3,000 Variable cost of goods sold (2,900) (2,010) Manufacturing margin $1,700 $990 Variable selling expenses (734) (510) Contribution margin $966 $480 Fixed expenses (450) (190) Operating income $516 $290 In addition, the following sales unit volume information for the period is as follows: Conquistador Hurricane Sales unit volume 3,400 2,500 a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each product as a whole percent. Galaxy Sports Inc. Contribution Margin by Product Conquistador Hurricane…
- Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Sales price Variable cost of goods sold Manufacturing margin Variable selling expenses Contribution margin Fixed expenses Operating income Conquistador Hurricane $5,000 $3,200 Sales unit volume (3,150) $1,850 (700) $1,150 (540) $610 2,700 (2,140) $1,060 $ (420) In addition, the following sales unit volume information for the period is as follows: Conquistador Hurricane $640 (260) % $380 1,900 a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each product as a whole percent. Galaxy Sports Inc. Contribution Margin by Product Line Item Description Conquistador Hurricane $ $ $ % b. What advice would you give to the management of Galaxy…Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Conquistador Hurricane Sales price $5,800 $3,800 Variable cost of goods sold (3,650) (2,550) Manufacturing margin $2,150 $1,250 Variable selling expenses (932) (604) Contribution margin $1,218 $646 Fixed expenses (570) (260) Operating income $648 $386 In addition, the following sales unit volume information for the period is as follows: Conquistador Hurricane Sales unit volume 3,000 2,100 a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each product as a whole percent. Galaxy Sports Inc.Contribution Margin by Product Conquistador Hurricane…Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Conquistador Hurricane Sales price $4,400 $3,000 Variable cost of goods sold (2,770) (2,010) Manufacturing margin $1,630 $990 Variable selling expenses (750) (450) Contribution margin $880 $540 Fixed expenses (410) (220) Operating income $470 $320 In addition, the following sales unit volume information for the period is as follows: Conquistador Hurricane Sales unit volume 2,100 1,500 Question Content Area a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each product as a whole percent. Galaxy Sports Inc. Contribution Margin by Product blank…
- Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Conquistador Hurricane Sales price $4,400 $2,800 Variable cost of goods sold (2,770) (1,880) Manufacturing margin $1,630 $920 Variable selling expenses (706) (444) Contribution margin $924 $476 Fixed expenses (430) (190) Operating income $494 $286 In addition, the following sales unit volume information for the period is as follows: Conquistador Hurricane Sales unit volume 3,600 2,700Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Conquistador Hurricane Sales price $5,800 $3,800 Variable cost of goods sold (3,650) (2,550) Manufacturing margin $2,150 $1,250 Variable selling expenses (932) (604) Contribution margin $1,218 $646 Fixed expenses (570) (260) Operating income $648 $386 In addition, the following sales unit volume information for the period is as follows: Conquistador Hurricane Sales unit volume 3,000 2,100 a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each product as a whole percent. Galaxy Sports Inc.Contribution Margin by Product…Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Conquistador Hurricane $2,600 $4,200 (2,650) (1,740) $1,550 Sales price Variable cost of goods sold Manufacturing margin Variable selling expenses Contribution margin Fixed expenses Operating income In addition, the following sales unit volume information for the period is as follows: Conquistador 2,000 Hurricane 1,500 Sales unit volume Conquistador (626) $924 (430) $494 % a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each product as a whole percent. Galaxy Sports Inc. Contribution Margin by Product Hurricane $860 (444) % $416 (170) $246
- Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Conquistador Hurricane Sales price $6,200 $4,000 Variable cost of goods sold (3,910) (2,680) Manufacturing margin $2,290 $1,320 Variable selling expenses (864) (520) Contribution margin $1,426 $800 Fixed expenses (670) (320) Operating income $756 $480 In addition, the following sales unit volume information for the period is as follows: Conquistador Hurricane Sales unit volume 2,700 1,900 Question Content Area a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each product as a whole percent. Galaxy Sports Inc.Contribution Margin by Productblank…Product Profitability Analysis Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the Conquistador and Hurricane, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Conquistador Hurricane Sales price $6,200 $4,000 Variable cost of goods sold (3,910) (2,680) Manufacturing margin $2,290 $1,320 Variable selling expenses (1,112) (680) Contribution margin $1,178 $640 Fixed expenses (550) (260) Operating income $628 $380 In addition, the following sales unit volume information for the period is as follows: Conquistador Hurricane Sales unit volume 3,500 2,600 Question Content Area a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each product as a whole percent. Galaxy Sports Inc.Contribution Margin by Productblank…a. Prepare a contribution margin by product report. Compute the contribution margin ratio for each product as a whole percent. Galaxy Sports Inc. Contribution Margin by Product Conquistador % Hurricane % b. What advice would you give to the management of Galaxy Sports Inc. regarding the profitability of the two products? The line provides the largest total contribution margin and the largest contribution margin ratio. If the sales mix were shifted more toward the line, the overall profitability of the company would increase.