The Alpine House, Inc., Is a large retaller of snow skis. The company assembled the Information shown below for the quarter endedMarch 31:Amountsales946,000Selling price per pair of skisVariable selling expense per pair of skisVariable administrative expense per pair of skisTotal fixed selling expenseTotal fixed administrative expenseBeginning merchandise inventoryEnding merchandise inventoryMerchandise purchases4304919150,000105,00070,000110,000305,000Requlred:1. Prepare a traditional income statement for the quarter ended March 31.2. Prepare a contribution format income statement for the quarter ended March 31.3. What was the contribution margin per unit?Complete this question by entering your answers in the tabs below.Required 1Required 2Required 3Prepare a contribution format income statement for the quarter ended March 31.The Alpine House, Inc.Contribution Format Income StatementVariable expenses:Fixed expenses:< Required 1Required 3 > The Alpine House, Inc., Is a large retaller of snow skis. The company assembled the Information shown below for the quarter endedMarch 31:AmountSales946,000Selling price per pair of skisVariable selling expense per pair of skisvariable administrative expense per pair of skisTotal fixed selling expenseTotal fixed administrative expenseBeginning merchandise inventoryEnding merchandise inventoryMerchandise purchases4304919150,000105,00070,000110,000305,000Requlred:1. Prepare a traditional Income statement for the quarter ended March 31.2. Prepare a contribution format Income statement for the quarter ended March 31.3. What was the contributlon margin per unit?Complete this question by entering your answers in the tabs below.Required 1Required 2Required 3What was the contribution margin per unit? (Round your final answer to nearest whole dollar.)Contribution margin per unit< Required 2Required 31A 14 v1A 1A 1A 1A 1A 14

Income statement is usually prepared for the purpose of depicting the profitability of an entity.

The Alpine House, Inc., Is a large retaller of snow skis. The company assembled the Information shown below for the quarter ended March 31: Amount Sales 946,000 Selling price per pair of skis Variable selling expense per pair of skis Variable administrative expense per pair of skis Total fixed selling expense Total fixed administrative expense Beginning merchandise inventory Ending merchandise inventory Merchandise purchases 430 49 19 15e,000 105,000 70,000 11e,000 305,e00 Requlred: 1. Prepare a traditional income statement for the quarter ended March 31. 2. Prepare a contribution format Income statement for the quarter ended March 31. 3. What was the contribution margin per unit?

The Alpine House, Inc., Is a large retaller of snow skis. The company assembled the Information shown below for the quarter ended March 31: Amount Sales 946,000 Selling price per pair of skis Variable selling expense per pair of skis Variable administrative expense per pair of skis Total fixed selling expense Total fixed administrative expense Beginning merchandise inventory Ending merchandise inventory Merchandise purchases 430 49 19 15e,000 105,000 70,000 11e,000 305,e00 Requlred: 1. Prepare a traditional income statement for the quarter ended March 31. 2. Prepare a contribution format Income statement for the quarter ended March 31. 3. What was the contribution margin per unit?

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter20: Inventory Management: Economic Order Quantity, Jit, And The Theory Of Constraints

Section: Chapter Questions

Problem 7E: Ottis, Inc., uses 640,000 plastic housing units each year in its production of paper shredders. The...

See similar textbooks

Similar questions

The Alpine House, Inc., is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31: AmountSales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $150,000Selling price per pair of skis . . . . . . . . . . . . . . . . . . . . . $750Variable selling expense per pair of skis . . . . . . . . . . $50Variable administrative expense per pair of skis . . . $10Total fixed selling expense . . . . . . . . . . . . . . . . . . . . . . $20,000Total fixed administrative expense . . . . . . . . . . . . . . . $20,000Beginning merchandise inventory . . . . . . . . . . . . . . . . $30,000Ending merchandise inventory . . . . . . . . . . . . . . . . . . $40,000Merchandise purchases . . . . . . . . . . . . . . . . . . . . . . . . $100,000 Required:1. Prepare a traditional income statement for the quarter ended March 31.2. Prepare a…
The Alpine House, Inc., is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31: amount Sales 1408000 Selling price per pair of skis 440 Variable selling expense per pair of skis 45 Variable administrative expense per pair of skis 20 Total fixed selling expense 135000 Total fixed administrative expense 100000 Beginning merchandise inventory 70000 Ending merchandise inventory 120000 Merchandise purchases 305000 1. Prepare a traditional income statement for the quarter ended March 31. The Alpine House, Inc. Traditional Income Statement Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses 0 Net operating income 2. Prepare a contribution format income statement for the quarter ended March 31. The Alpine House, Inc. Contribution…
The Alpine House, Inc., is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31: Amount Sales $1408000 Selling price per pair of skis $440 Variable selling expense per pair of skis $45 Variable administrative expense per pair of skis $20 Total fixed selling expense $135,000 Total fixed administrative expense $100,000 Beginning merchandise inventory $70,000 Ending merchandise inventory $120,000 Merchandise purchases $305,000 1. Prepare a traditional income statement for the quarter ended March 31. 2. Prepare a contribution format income statement for the quarter ended March 31 3. What was the contribution margin per unit ?
The Alpine House, Inc., is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31: Amount Total sales revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $150,000 Selling price per pair of skis . . . . . . . . . . . . . . . . . . . . . . . $750 Variable selling expense per pair of skis . . . . . . . . . . . . . $50 Variable administrative expense per pair of skis . . . . . . . $10 Total fixed selling expense . . . . . . . . . . . . . . . . . . . . . . . . $20,000 Total fixed administrative expense . . . . . . . . . . . . . . . . . . $20,000 Beginning merchandise inventory . . . . . . . . . . . . . . . . . . $30,000 Ending merchandise inventory . . . . . . . . . . . . . . . . . . . . . $40,000 Merchandise purchases . . . . . . . . . . . . . . . . . . . . . . . . . . $100,000 Required: Prepare a traditional income statement for the quarter ended March 31. Prepare a contribution format income statement for the…
The Alpine House, Inc., is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31: Amount Sales $ 1,419,000 Selling price per pair of skis $ 430 Variable selling expense per pair of skis $ 46 Variable administrative expense per pair of skis $ 16 Total fixed selling expense $ 160,000 Total fixed administrative expense $ 110,000 Beginning merchandise inventory $ 70,000 Ending merchandise inventory $ 110,000 Merchandise purchases $ 295,000 Required: 1. Prepare a traditional income statement for the quarter ended March 31. 2. Prepare a contribution format income statement for the quarter ended March 31. 3. What was the contribution margin per unit?
The Alpine House, Inc. is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31: Amount Total sales revenue $ 968,000 Selling price per pair of skis $ 440 Variable selling expense per pair of skis $ 47 Variable administrative expense per pair of skis $ 20 Total fixed selling expense $ 130,000 Total fixed administrative expense $ 115,000 Beginning merchandise inventory $ 70,000 Ending merchandise inventory $ 115,000 Merchandise purchases $ 300,000 Prepare a contribution format income statement for the quarter ended March 31. The Alpine House, Incorporated Contribution Format Income Statement Sales $968,000 Variable expenses: Cost of goods sold $275,000 150,680 Administrative expenses Cost of goods sold 425,680 Contribution margin Fixed expenses: What was the contribution margin per unit?…
The Alpine House, Inc. is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31: Amount Total sales revenue $ 968,000 Selling price per pair of skis $ 440 Variable selling expense per pair of skis $ 47 Variable administrative expense per pair of skis $ 20 Total fixed selling expense $ 130,000 Total fixed administrative expense $ 115,000 Beginning merchandise inventory $ 70,000 Ending merchandise inventory $ 115,000 Merchandise purchases $ 300,000 1. prepare the traditional income statement for the quarter ended march 31 come statement for the quarter ended March 31. The Alpine House, Incorporated Traditional Income Statement Sales $968,000 Cost of goods sold 255,000 Gross margin 713,000 Selling and administrative expenses: Selling expenses $233,400 Administrative expenses 159,000 392,400 784,800 Net operating income
Data related to the inventories of Alpine Ski Equipment is shown below: Skis Boots Apparel Supplies Selling price $180,000 $150,000 $120,000 $60,000 Cost 128,000 133,000 90,000 45,000 Replacement cost 120,000 130,000 110,000 41,000 Sales commission 10% 10% 10% 10% Normal gross profit ratio 20% 20% 15% 15% In applying the LCM rule, the inventory of skis would be valued at: In applying the LCM rule, the inventory of boots would be valued at:
Redhawk, Inc., is a merchandiser that provided the following information: Number of units sold . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,000Selling price per unit . . . . . . . . . . . . . . . . . . . . . . . . . . . . $15Variable selling expense per unit . . . . . . . . . . . . . . . . . . . $2Variable administrative expense per unit . . . . . . . . . . . . . . $1Total fixed selling expense . . . . . . . . . . . . . . . . . . . . . . . . $20,000Total fixed administrative expense . . . . . . . . . . . . . . . . . . $15,000Merchandise inventory, beginning balance . . . . . . . . . . . .$12,000Merchandise inventory, ending balance . . . . . . . . . . . . . . $22,000Merchandise purchases . . . . . . . . . . . . . . . . . . . . . . . . . . $90,000Required:1. Prepare a traditional income statement.2. Prepare a contribution format income statement.
Redhawk, Inc., is a merchandiser that provided the following information: Number of units sold . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,000Selling price per unit . . . . . . . . . . . . . . . . . . . . . . . . . . . . $15Variable selling expense per unit . . . . . . . . . . . . . . . . . . . $2Variable administrative expense per unit . . . . . . . . . . . . . . $1Total fi xed selling expense . . . . . . . . . . . . . . . . . . . . . . . . $20,000Total fi xed administrative expense . . . . . . . . . . . . . . . . . . . $15,000Merchandise inventory, beginning balance . . . . . . . . . . . . $12,000Merchandise inventory, ending balance . . . . . . . . . . . . . . $22,000Merchandise purchases . . . . . . . . . . . . . . . . . . . . . . . . . . $90,000 Required:1. Prepare a traditional income statement.2. Prepare a contribution format income statement.
Todrick Company is a merchandiser that reported the following information based on 1,000 units sold: Sales $ 375,000 Beginning merchandise inventory $ 25,000 Purchases $ 250,000 Ending merchandise inventory $ 12,500 Fixed selling expense ? Fixed administrative expense $ 15,000 Variable selling expense $ 18,750 Variable administrative expense ? Contribution margin $ 75,000 Net operating income $ 22,500 Required: 1. Prepare a contribution format income statement. 2. Prepare a traditional format income statement. 3. Calculate the selling price per unit. 4. Calculate the variable cost per unit. 5. Calculate the contribution margin per unit. 6. Which income statement format (traditional format or contribution format) would be more useful to managers in estimating how net operating income will change in response to changes in unit sales?
Todrick Company is a merchandiser that reported the following information based on 1,000 units sold: Sales $ 240,000 Beginning merchandise inventory $ 16,000 Purchases $ 160,000 Ending merchandise inventory $ 8,000 Fixed selling expense ? Fixed administrative expense $ 9,600 Variable selling expense $ 12,000 Variable administrative expense ? Contribution margin $ 48,000 Net operating income $ 14,400 Required: 1. Prepare a contribution format income statement. 2. Prepare a traditional format income