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need help.. please have it in the same format ent-Consumer ATV Department Sales

ID: 2397748 • Letter: N

Question

need help.. please have it in the same format

ent-Consumer ATV Department Sales Cost of goods sold $ 626.400 318,420 307 980 Gross margin Operating expenses Selling expenses Administrative expenses 125,000 42,300 167,300 Net income $140,680 Required: 1. Prepare an income statement for this current year using the contribution margin format Answer is not complete POLARIX Income Statement Consumer ATV Department For Year Ended December 31, 2015 Sales 626,400 Less: Variable expenses Variable cost of goods sold Variable selling expenses Variable administrative expenses $318,420 $ 48,720 29,610 396,750 Contribution margin Less: Fixed expenses Fixed selling expenses Fixed administrative expenses Net income (loss) For each ATV sold during this year, what is the contribution toward ring fixed expenses and earning income? Contribution margin per ATV:

Explanation / Answer

POLARIX

Income Statement-Consumer ATV Department

For Year ended December 31, 2015

Sales

$ 626,400.00

Less: Variable Expenses

Variable Cost of Goods Sold

$ 318,420.00

Variable Selling Expenses

$    48,720.00

Variable Administrative Expenses

$    29,610.00

$ 396,750.00

Contribution Margin

$ 229,650.00

Less: Fixed Expenses

Fixed Selling Expenses

$    76,280.00

Fixed Administrative Expenses

$    12,690.00

$    88,970.00

Net Income (Loss)

$ 140,680.00

2. For Each ATV sold this Year, What is the Contribution forward covering Fixed expenses and earning Income.

Contribution Margin Per ATV

$                                    1,319.83

Calculation of Contribution per Unit of ATV

Per Unit

Sale Price

$      3,600.00

Less- Variable Cost

Purchase cost

$      1,830.00

Variable Selling Expenses

$          280.00

Variable Administrative expense

$          170.17

Contribution Margin

$      1,319.83

POLARIX

Income Statement-Consumer ATV Department

For Year ended December 31, 2015

Sales

$ 626,400.00

Less: Variable Expenses

Variable Cost of Goods Sold

$ 318,420.00

Variable Selling Expenses

$    48,720.00

Variable Administrative Expenses

$    29,610.00

$ 396,750.00

Contribution Margin

$ 229,650.00

Less: Fixed Expenses

Fixed Selling Expenses

$    76,280.00

Fixed Administrative Expenses

$    12,690.00

$    88,970.00

Net Income (Loss)

$ 140,680.00