Answers
Answer
- Contribution margin Income Statement
| Total Company | Weedban | Greengrow | |
| Sales | $1,282,000 | $332,000 | $950,000 |
| Variable expenses | $539,500 | $124,500 | $415,000 |
| Contribution margin | $742,500 | $207,500 | $535,000 |
| Traceable Fixed expenses | $168,000 | $134,000 | $34,000 |
| Product Line Segment Margin | $574,500 | $73,500 | $501,000 |
| Common Fixed expenses not traceable to products | $106,000 | ||
| Net Operating Income | $468,500 |
--Working
| Weedban | Greengrow | |
| Sales | =41500*8 | =25000*38 |
| Variable expenses | =41500*3 | =41500*10 |
| Contribution margin | $207,500 | $535,000 |
| Traceable Fixed expenses | 134000 | 34000 |
| Product Line Segment Margin | $73,500 | $501,000 |
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