Sales Coast to Coast Surfboards Inc. Contribution Margin by Territory Variable cost of goods sold Manufacturing margin Variable selling expenses Contribution margin Contribution margin ratio $ East Coast $ % West Coast $ %

Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter21: Variable Costing For Management analysis
Section: Chapter Questions
Problem 12E: Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the...
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Coast to Coast Surfboards Inc. manufactures and sells two styles of surfboards, Atlantic Wave and Pacific Pounder. These surfboards are sold in two regions, East Coast and West Coast.
Information about the two surfboards is as follows: Atlantic Wave Pacific Pounder Sales price $450 $400 Variable cost of goods sold per unit (167) (192) Manufacturing margin per unit $283
$208 Variable selling expense per unit (202) (112) Contribution margin per unit $81 $96 The sales unit volume for the territories and products for the period is as follows: East Coast West
Coast Atlantic Wave 2,440 1,220 Pacific Pounder 0 1,220 Question Content Area a . Prepare a contribution margin by sales territory report. Compute the contribution margin ratio for each
territory as a whole percent, rounded to two decimal places, if required.
Transcribed Image Text:Coast to Coast Surfboards Inc. manufactures and sells two styles of surfboards, Atlantic Wave and Pacific Pounder. These surfboards are sold in two regions, East Coast and West Coast. Information about the two surfboards is as follows: Atlantic Wave Pacific Pounder Sales price $450 $400 Variable cost of goods sold per unit (167) (192) Manufacturing margin per unit $283 $208 Variable selling expense per unit (202) (112) Contribution margin per unit $81 $96 The sales unit volume for the territories and products for the period is as follows: East Coast West Coast Atlantic Wave 2,440 1,220 Pacific Pounder 0 1,220 Question Content Area a . Prepare a contribution margin by sales territory report. Compute the contribution margin ratio for each territory as a whole percent, rounded to two decimal places, if required.
Sales
Coast to Coast Surfboards Inc.
Contribution Margin by Territory
Variable cost of goods sold
Manufacturing margin
Variable selling expenses
Contribution margin
Contribution margin ratio
East Coast
%
West Coast
%
Transcribed Image Text:Sales Coast to Coast Surfboards Inc. Contribution Margin by Territory Variable cost of goods sold Manufacturing margin Variable selling expenses Contribution margin Contribution margin ratio East Coast % West Coast %
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