Top Posters
Since Sunday
5
o
5
4
m
4
b
4
x
4
a
4
l
4
t
4
S
4
m
3
s
3
New Topic  
mlee52381 mlee52381
wrote...
Posts: 120
Rep: 0 0
A year ago
J Bryson, Ltd. is a local coat retailer. The store's accountant prepared the following income statement for the month ended January 31.

Sales revenue$750,000
Cost of goods sold300,000
Gross margin450,000
Less operating expenses
  Selling expense$23,560
  Administrative expense  49,500   73,060
Operating income$376,940

Bryson sells its coats for $250 each. Selling expenses consist of fixed costs plus a commission of $6.50 per coat. Administrative expenses consist of fixed costs plus a variable component equal to 6% of sales.

Required:

a. Prepare a contribution format income statement for January.
b. Using the format y = mx + b, develop a cost formula for the operating expenses.
c. If 2,700 coats are sold next month, what is the expected total contribution margin?
Textbook 
Managerial Accounting

Managerial Accounting


Edition: 4th
Author:
Read 33 times
1 Reply
Replies
Answer verified by a subject expert
ugotpwned5ugotpwned5
wrote...
Posts: 114
Rep: 1 0
A year ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

mlee52381 Author
wrote...

A year ago
You make an excellent tutor!
wrote...

Yesterday
This calls for a celebration Person Raising Both Hands in Celebration
wrote...

2 hours ago
This helped my grade so much Perfect
New Topic      
Explore
Post your homework questions and get free online help from our incredible volunteers
  1174 People Browsing
Related Images
  
 210
  
 4416
  
 317
Your Opinion
Which industry do you think artificial intelligence (AI) will impact the most?
Votes: 308