PowerTrain Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVS), the Mountain Monster and Desert Dragon, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Mountain Desert Dragon Monster 2 Sales price $5,500.00 $5,300.00 3 Variable cost of goods sold 3.290.00 3,300.00 4 Manufacturing margin $2,210.00 $2,000.00 s Variable selling expenses 1,000.00 1.152.00 6 Contribution margin $1,210.00 $848.00 7 Fixed expenses 475.00 320.00 8 Income from operations $735.00 $528.00 In addition, the following sales unit volume information for the period is as follows: Mountain Monster Desert Dragon Sales unit volume 5,000 4,850 Required: a. Prepare a contribution margin by product report. Calculate the contribution margin ratio for each. Refer to the Amount Descriptions list provided

PowerTrain Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVS), the Mountain Monster and Desert Dragon, from a single manufacturing facility. The manufacturing facility operates at 100% of capacity. The following per-unit information is available for the two products: Mountain Desert Dragon Monster 2 Sales price $5,500.00 $5,300.00 3 Variable cost of goods sold 3.290.00 3,300.00 4 Manufacturing margin $2,210.00 $2,000.00 s Variable selling expenses 1,000.00 1.152.00 6 Contribution margin $1,210.00 $848.00 7 Fixed expenses 475.00 320.00 8 Income from operations $735.00 $528.00 In addition, the following sales unit volume information for the period is as follows: Mountain Monster Desert Dragon Sales unit volume 5,000 4,850 Required: a. Prepare a contribution margin by product report. Calculate the contribution margin ratio for each. Refer to the Amount Descriptions list provided

Financial And Managerial Accounting

15th Edition

ISBN:9781337902663

Author:WARREN, Carl S.

Publisher:WARREN, Carl S.

Chapter21: Variable Costing For Management analysis

Section: Chapter Questions

Problem 12E: Galaxy Sports Inc. manufactures and sells two styles of All Terrain Vehicles (ATVs), the...

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