Answered

Welcome to Westonci.ca, where curiosity meets expertise. Ask any question and receive fast, accurate answers from our knowledgeable community. Join our platform to connect with experts ready to provide precise answers to your questions in different areas. Our platform provides a seamless experience for finding reliable answers from a network of experienced professionals.

Marley Company has the following information for March: Sales $912,000 Variable cost of goods sold 474,000 Fixed manufacturing costs 82,000 Variable selling and administrative expenses 238,100 Fixed selling and administrative expenses 54,700 Determine the following for Marley Company for the month of March: a. Manufacturing margin $fill in the blank 1 b. Contribution margin $fill in the blank 2 c. Operating income

Sagot :

facundobuzzetti

Answer:

Results are below.

Explanation:

The variable costing method incorporates all variable production costs (direct material, direct labor, and variable overhead).

Manufacturing contribution margin= 912,000 - 474,000

Manufacturing contribution margin= 438,000

Now, the total contribution margin:

Total contribution margin= manufacturing contribution margin - Variable selling and administrative expenses

Total contribution margin= 438,000 - 238,100

Total contribution margin= $199,900

Finally, the income statement:

Sales= 912,000

Total Variable cost= 474,000 + 238,100= (712,100)

Total contribution margin= 199,900

Fixed manufacturing costs= (82,000)

Fixed selling and administrative expenses= (54,700)

Net operating income= 63,200

Your visit means a lot to us. Don't hesitate to return for more reliable answers to any questions you may have. Thanks for using our service. We're always here to provide accurate and up-to-date answers to all your queries. We're dedicated to helping you find the answers you need at Westonci.ca. Don't hesitate to return for more.