Salespersons' Report and Analysis Walthman Industries Inc. employs seven salespersons to sell and distribute its product throughout the state. Data taken from reports received from the salespersons during the year ended December 31 are as follows: Salesperson Total Sales Variable Cost of Goods Sold Variable Selling Expenses Case $392,000 $164,640 $82,320 Dix 544,000 174,080 92,480 Johnson 442,000 145,860 70,720 LaFave 589,000 294,500 88,350 Orcas 442,000 203,320 57,460 Sussman 465,000 162,750 83,700 Willbond 601,000 204,340 96,160 Required: 1. Prepare a table indicating contribution margin, variable cost of goods sold as a percent of sales, variable selling expenses as a percent of sales, and contribution margin ratio by salesperson. Round percents to the nearest whole number. Enter all amounts as positive numbers. Waltham Industries Inc. Salespersons' Analysis For the Year Ended December 31 Salesperson Contribution Margin Variable Cost of Goods Sold as a Percent of Sales Variable Selling Expenses as a Percent of Sales Contribution Margin Ratio Case $fill in the blank aa26d606800802a_1 fill in the blank aa26d606800802a_2% fill in the blank aa26d606800802a_3% fill in the blank aa26d606800802a_4% Dix fill in the blank aa26d606800802a_5 fill in the blank aa26d606800802a_6% fill in the blank aa26d606800802a_7% fill in the blank aa26d606800802a_8% Johnson fill in the blank aa26d606800802a_9 fill in the blank aa26d606800802a_10% fill in the blank aa26d606800802a_11% fill in the blank aa26d606800802a_12% LaFave fill in the blank aa26d606800802a_13 fill in the blank aa26d606800802a_14% fill in the blank aa26d606800802a_15% fill in the blank aa26d606800802a_16% Orcas fill in the blank aa26d606800802a_17 fill in the blank aa26d606800802a_18% fill in the blank aa26d606800802a_19% fill in the blank aa26d606800802a_20% Sussman fill in the blank aa26d606800802a_21 fill in the blank aa26d606800802a_22% fill in the blank aa26d606800802a_23% fill in the blank aa26d606800802a_24% Willbond fill in the blank aa26d606800802a_25 fill in the blank aa26d606800802a_26% fill in the blank aa26d606800802a_27% fill in the blank aa26d606800802a_28% 2. Which salesperson generated the highest contribution margin ratio for the year? 3. Identify the factors other than contribution margin that should be considered in evaluating the performance of salespersons. Rate of growth in sales for the current year compared with past years Years of experience for salespersons Size of sales territory Actual sales compared with budgeted sales All of the above

Salespersons' Report and Analysis Walthman Industries Inc. employs seven salespersons to sell and distribute its product throughout the state. Data taken from reports received from the salespersons during the year ended December 31 are as follows: Salesperson Total Sales Variable Cost of Goods Sold Variable Selling Expenses Case $392,000 $164,640 $82,320 Dix 544,000 174,080 92,480 Johnson 442,000 145,860 70,720 LaFave 589,000 294,500 88,350 Orcas 442,000 203,320 57,460 Sussman 465,000 162,750 83,700 Willbond 601,000 204,340 96,160 Required: 1. Prepare a table indicating contribution margin, variable cost of goods sold as a percent of sales, variable selling expenses as a percent of sales, and contribution margin ratio by salesperson. Round percents to the nearest whole number. Enter all amounts as positive numbers. Waltham Industries Inc. Salespersons' Analysis For the Year Ended December 31 Salesperson Contribution Margin Variable Cost of Goods Sold as a Percent of Sales Variable Selling Expenses as a Percent of Sales Contribution Margin Ratio Case $fill in the blank aa26d606800802a_1 fill in the blank aa26d606800802a_2% fill in the blank aa26d606800802a_3% fill in the blank aa26d606800802a_4% Dix fill in the blank aa26d606800802a_5 fill in the blank aa26d606800802a_6% fill in the blank aa26d606800802a_7% fill in the blank aa26d606800802a_8% Johnson fill in the blank aa26d606800802a_9 fill in the blank aa26d606800802a_10% fill in the blank aa26d606800802a_11% fill in the blank aa26d606800802a_12% LaFave fill in the blank aa26d606800802a_13 fill in the blank aa26d606800802a_14% fill in the blank aa26d606800802a_15% fill in the blank aa26d606800802a_16% Orcas fill in the blank aa26d606800802a_17 fill in the blank aa26d606800802a_18% fill in the blank aa26d606800802a_19% fill in the blank aa26d606800802a_20% Sussman fill in the blank aa26d606800802a_21 fill in the blank aa26d606800802a_22% fill in the blank aa26d606800802a_23% fill in the blank aa26d606800802a_24% Willbond fill in the blank aa26d606800802a_25 fill in the blank aa26d606800802a_26% fill in the blank aa26d606800802a_27% fill in the blank aa26d606800802a_28% 2. Which salesperson generated the highest contribution margin ratio for the year? 3. Identify the factors other than contribution margin that should be considered in evaluating the performance of salespersons. Rate of growth in sales for the current year compared with past years Years of experience for salespersons Size of sales territory Actual sales compared with budgeted sales All of the above

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 4PA: Salespersons report and analysis Walthman Industries Inc. employs seven salespersons to sell and...

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Salespersons' Report and Analysis

Walthman Industries Inc. employs seven salespersons to sell and distribute its product throughout the state. Data taken from reports received from the salespersons during the year ended December 31 are as follows:

Salesperson	Total Sales	Variable Cost of Goods Sold	Variable Selling Expenses
Case	$392,000		$164,640	$82,320
Dix	544,000		174,080	92,480
Johnson	442,000		145,860	70,720
LaFave	589,000		294,500	88,350
Orcas	442,000		203,320	57,460
Sussman	465,000		162,750	83,700
Willbond	601,000		204,340	96,160

Required:

1. Prepare a table indicating contribution margin, variable cost of goods sold as a percent of sales, variable selling expenses as a percent of sales, and contribution margin ratio by salesperson. Round percents to the nearest whole number. Enter all amounts as positive numbers.

Waltham Industries Inc.
Salespersons' Analysis
For the Year Ended December 31
Salesperson	Contribution Margin	Variable Cost of Goods Sold as a Percent of Sales	Variable Selling Expenses as a Percent of Sales	Contribution Margin Ratio
Case	$fill in the blank aa26d606800802a_1	fill in the blank aa26d606800802a_2%	fill in the blank aa26d606800802a_3%	fill in the blank aa26d606800802a_4%
Dix	fill in the blank aa26d606800802a_5	fill in the blank aa26d606800802a_6%	fill in the blank aa26d606800802a_7%	fill in the blank aa26d606800802a_8%
Johnson	fill in the blank aa26d606800802a_9	fill in the blank aa26d606800802a_10%	fill in the blank aa26d606800802a_11%	fill in the blank aa26d606800802a_12%
LaFave	fill in the blank aa26d606800802a_13	fill in the blank aa26d606800802a_14%	fill in the blank aa26d606800802a_15%	fill in the blank aa26d606800802a_16%
Orcas	fill in the blank aa26d606800802a_17	fill in the blank aa26d606800802a_18%	fill in the blank aa26d606800802a_19%	fill in the blank aa26d606800802a_20%
Sussman	fill in the blank aa26d606800802a_21	fill in the blank aa26d606800802a_22%	fill in the blank aa26d606800802a_23%	fill in the blank aa26d606800802a_24%
Willbond	fill in the blank aa26d606800802a_25	fill in the blank aa26d606800802a_26%	fill in the blank aa26d606800802a_27%	fill in the blank aa26d606800802a_28%

2. Which salesperson generated the highest contribution margin ratio for the year?

3. Identify the factors other than contribution margin that should be considered in evaluating the performance of salespersons.

Rate of growth in sales for the current year compared with past years
Years of experience for salespersons
Size of sales territory
Actual sales compared with budgeted sales
All of the above

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