Slarlet Beauty manufactures and sells a face cream lo small specialy stores in the greater Los Angeles area. It presents the monthly operating income stalement shown here to George Diaz, a polenial investor in the business. Help Mr. Diaz understand Starlet Beauty's cost structure. E(Click the icon to view the operating income stalement.) Read the equirements. Data Table Requirement 1. Recast the income statement to emphasize contribution margin. Starlet Cosmetics Operating Income Statement, June 2017 Starlet Beauty Operating Income Statement, June 2017 10,000 Units sold Revenues 200,000 Cost of goods sold Variable manufacturing costs 80,000 32,900 Fixed manufacturing costs 112,900 Total Gross margin 87,100 Operating costs Variable marketing costs 48,000 17.500 Fixed marketing and administrative costs 65,500 Total operating costs 21,600 Operating income Print Done Choose from any list or enter any number in the input fields and then click Check Answer.

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter18: Pricing And Profitability Analysis
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Slarlet Beauty manufactures and sells a face cream lo small specialy stores in the greater Los Angeles area. It presents the monthly operating income stalement shown here to George Diaz, a polenial investor in the business. Help Mr. Diaz
understand Starlet Beauty's cost structure.
E(Click the icon to view the operating income stalement.)
Read the equirements.
Data Table
Requirement 1. Recast the income statement to emphasize contribution margin.
Starlet Cosmetics
Operating Income Statement, June 2017
Starlet Beauty
Operating Income Statement, June 2017
10,000
Units sold
Revenues
200,000
Cost of goods sold
Variable manufacturing costs
80,000
32,900
Fixed manufacturing costs
112,900
Total
Gross margin
87,100
Operating costs
Variable marketing costs
48,000
17.500
Fixed marketing and administrative costs
65,500
Total operating costs
21,600
Operating income
Print
Done
Choose from any list or enter any number in the input fields and then click Check Answer.
Transcribed Image Text:Slarlet Beauty manufactures and sells a face cream lo small specialy stores in the greater Los Angeles area. It presents the monthly operating income stalement shown here to George Diaz, a polenial investor in the business. Help Mr. Diaz understand Starlet Beauty's cost structure. E(Click the icon to view the operating income stalement.) Read the equirements. Data Table Requirement 1. Recast the income statement to emphasize contribution margin. Starlet Cosmetics Operating Income Statement, June 2017 Starlet Beauty Operating Income Statement, June 2017 10,000 Units sold Revenues 200,000 Cost of goods sold Variable manufacturing costs 80,000 32,900 Fixed manufacturing costs 112,900 Total Gross margin 87,100 Operating costs Variable marketing costs 48,000 17.500 Fixed marketing and administrative costs 65,500 Total operating costs 21,600 Operating income Print Done Choose from any list or enter any number in the input fields and then click Check Answer.
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