Hudson Company reports the following contribution margin income statement. HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales (11,200 units at $280 each) $ 3,136,000 Variable costs (11,200 units at $210 each) 2,352,000 Contribution margin 784,000 Fixed costs 567,000 Income $ 217,000 If Hudson achieves its target income, what is its margin of safety (in percent)? (Round your answer to 1 decimal place.)
Hudson Company reports the following contribution margin income statement. HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales (11,200 units at $280 each) $ 3,136,000 Variable costs (11,200 units at $210 each) 2,352,000 Contribution margin 784,000 Fixed costs 567,000 Income $ 217,000 If Hudson achieves its target income, what is its margin of safety (in percent)? (Round your answer to 1 decimal place.)
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 5PB: Wellington, Inc., reports the following contribution margin income statement for the month of May....
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Hudson Company reports the following contribution margin income statement.
HUDSON COMPANY | |
Contribution Margin Income Statement | |
For Year Ended December 31 | |
Sales (11,200 units at $280 each) | $ 3,136,000 |
---|---|
Variable costs (11,200 units at $210 each) | 2,352,000 |
Contribution margin | 784,000 |
Fixed costs | 567,000 |
Income | $ 217,000 |
If Hudson achieves its target income, what is its margin of safety (in percent)? (Round your answer to 1 decimal place.)
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