The Peterson company incurred the following revenue and costs in the month of May: Sales Revenue S 57,000 Direct Materials $12,000 Variable Selling Costs $5,000 Direct labor paid $9,000 Mfg. Plant Utility Costs $19,000 Fixed Adv. Costs $2,000 1. The company's gross margin is? 2. If $10,000 of the mfg plant utility costs were fixed (and rest variable) the the Contribution Margin was? 3. If companys revenue is $ 530,000, profit before taxes $98000, and product costs are $390,000 then the companys period costs total is? 4. If fixed Costs are $15,000, operating income is $55, 000, revenues are $160,000, variable costs are $ 90,000, total Contribution Margin is?
The Peterson company incurred the following revenue and costs in the month of May: Sales Revenue S 57,000 Direct Materials $12,000 Variable Selling Costs $5,000 Direct labor paid $9,000 Mfg. Plant Utility Costs $19,000 Fixed Adv. Costs $2,000 1. The company's gross margin is? 2. If $10,000 of the mfg plant utility costs were fixed (and rest variable) the the Contribution Margin was? 3. If companys revenue is $ 530,000, profit before taxes $98000, and product costs are $390,000 then the companys period costs total is? 4. If fixed Costs are $15,000, operating income is $55, 000, revenues are $160,000, variable costs are $ 90,000, total Contribution Margin is?
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 1PB: A company sells mulch by the cubic yard. Grade A much sells for $150 per cubic yard and has variable...
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![The Peterson company incurred the following revenue and costs in the month of May: Sales Revenue S
57,000 Direct Materials $12,000 Variable Selling Costs $5,000 Direct labor paid $9,000 Mfg. Plant Utility
Costs $19,000 Fixed Adv. Costs $2,000 1. The company's gross margin is? 2. If $10,000 of the mfg plant
utility costs were fixed (and rest variable) the the Contribution Margin was? 3. If companys revenue is $
530,000, profit before taxes $98000, and product costs are $390,000 then the companys period costs total
is? 4. If fixed Costs are $15,000, operating income is $55, 000, revenues are $160,000, variable costs are $
90,000, total Contribution Margin is?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F19e49528-67dd-4aeb-a968-ea029577d9c0%2F8ca1aa62-bfcd-4dd2-b711-6945ef138306%2F2k8hkul_processed.png&w=3840&q=75)
Transcribed Image Text:The Peterson company incurred the following revenue and costs in the month of May: Sales Revenue S
57,000 Direct Materials $12,000 Variable Selling Costs $5,000 Direct labor paid $9,000 Mfg. Plant Utility
Costs $19,000 Fixed Adv. Costs $2,000 1. The company's gross margin is? 2. If $10,000 of the mfg plant
utility costs were fixed (and rest variable) the the Contribution Margin was? 3. If companys revenue is $
530,000, profit before taxes $98000, and product costs are $390,000 then the companys period costs total
is? 4. If fixed Costs are $15,000, operating income is $55, 000, revenues are $160,000, variable costs are $
90,000, total Contribution Margin is?
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