Exercise 6-4 (Algo) Basic Segmented Income Statement [LO6-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Product Selling price per unit Weedban $ 9.00 Greengrow $ 35.00 Variable expenses per unit $ 3.10 Traceable fixed expenses per year $ 132,000 $ 10.00 $ 41,000 Last year the company produced and sold 38,500 units of Weedban and 18,500 units of Greengrow. Its annual common fixed expenses are $108,000. Required: Prepare a contribution format income statement segmented by product lines. Sales Variable expenses Contribution margin Traceable fixed expenses Product line segment margin Product Line Total Company Weedban Greengrow 0 0 0 0 $ 0 $ 0 Common fixed expenses not traceable to products Net operating income $ 0

Exercise 6-4 (Algo) Basic Segmented Income Statement [LO6-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Product Selling price per unit Weedban $ 9.00 Greengrow $ 35.00 Variable expenses per unit $ 3.10 Traceable fixed expenses per year $ 132,000 $ 10.00 $ 41,000 Last year the company produced and sold 38,500 units of Weedban and 18,500 units of Greengrow. Its annual common fixed expenses are $108,000. Required: Prepare a contribution format income statement segmented by product lines. Sales Variable expenses Contribution margin Traceable fixed expenses Product line segment margin Product Line Total Company Weedban Greengrow 0 0 0 0 $ 0 $ 0 Common fixed expenses not traceable to products Net operating income $ 0

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Exercise 6-4 (Algo) Basic Segmented Income Statement [LO6-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Product Selling price per unit Weedban $ 12.00 Greengrow $31.00 $ 13.00 Variable expenses per unit $ 2.90 Traceable fixed expenses per year $ 131,000 $ 38,000 Last year the company produced and sold 42,500 units of Weedban and 21,000 units of Greengrow. Its annual common fixed expenses are $105,000. Required: Prepare a contribution format income statement segmented by product lines. Product Line Total Company Weedban Greengrow Sales Variable expenses Contribution margin 0 Traceable fixed expenses Contribution margin 0 Common fixed expenses not traceable to products Net operating income $ 0 0 0 $ 0 0 $
Exercise 7-4 (Algo) Basic Segmented Income Statement [LO7-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost infor relating to the products follow: Selling price per unit Variable expenses per unit Traceable fixed expenses per year Product Weedban $11.00 $ 3.00 $ 130,000 Greengrow $39.00 $ 13.00 $ 40,000 Last year the company produced and sold 41,000 units of Weedban and 22,000 units of Greengrow. Its annual common fix expenses are $114,000. Required: Prepare a contribution format income statement segmented by product lines. $ Total Company 0 Product Line Weedban 0 $ 0 Greengrow 0 $ 0 0
Exercise 7-4 (Algo) Basic Segmented Income Statement [LO7-4] Royal Lawncare Company produces and sells two packaged products—Weedban and Greengrow. Revenue and cost information relating to the products follow: Product Weedban Greengrow Selling price per unit $ 11.00 $ 35.00 Variable expenses per unit $ 3.10 $ 11.00 Traceable fixed expenses per year $ 135,000 $ 48,000 Last year the company produced and sold 38,500 units of Weedban and 25,000 units of Greengrow. Its annual common fixed expenses are $103,000. Required: Prepare a contribution format income statement segmented by product lines.
Exercise 7-4 (Algo) Basic Segmented Income Statement [LO7-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Selling price per unit Variable expenses per unit Traceable fixed expenses per year Product Greengrow Weedban $ 10.00 $ 37.00 $ 2.70 $ 137,000 $ 13.00 $ 38,000 Last year the company produced and sold 43,500 units of Weedban and 22,500 units of Greengrow. Its annual common fixed expenses are $96,000. Required: Prepare a contribution format income statement segmented by product lines. Sales Variable expenses Contribution margin Traceable fixed expenses Product line segment margin Common fixed expenses not traceable to products Net operating income Product Line Total Company Weedban Greengrow 0 0 0 0 $ 0 $ 0 $ 0
Exercise 7-4 (Algo) Basic Segmented Income Statement [LO7-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Selling price per unit Variable expenses per unit Traceable fixed expenses per year Product Weedban $ 11.00 $ 2.30 $ 135,000 Greengrow $30.00 $ 12.00 $ 38,000 Last year the company produced and sold 41,500 units of Weedban and 19,000 units of Greengrow. Its annual common fixed expenses are $112,000. $ Required: Prepare a contribution format income statement segmented by product lines. Total Company 0 0 0 Product Line Weedban $ 0 Greengrow 0 $ 0
Exercise 7-4 (Algo) Basic Segmented Income Statement [LO7-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Selling price per unit Variable expenses per unit Traceable fixed expenses per year Product Sales Variable expenses Weedban $ 12.00 $ 2.20 $ 137,000 Last year the company produced and sold 41,000 units of Weedban and 17,500 units of Greengrow. Its annual common fixed expenses are $104,000. Contribution margin Traceable fixed expenses Product line segment margin Common fixed expenses not traceable to products Net operating income Required: Prepare a contribution format income statement segmented by product lines. Greengrow $ 34.00 $ 12.00 $ 35,000 $ Total Company Prev 0 Product Line 0 Weedban 0 $ 1 of 2 m 0 Greengrow 0 $ Next > 0 0
Segment Reporting The XYZ Company produces and sells two products: The Riffs and The Raffs. Below is revenue and cost information to facilitate the development of a basic segmented income statement. Product Riffs Raffs Sales Price per unit $8.00 6.00 Variable Cost per unit $3.20 3.00 Traceable Fixed Costs $62,000 $44,000 It is expected that the company will incur $21,000 of common fixed expenses and unit sales are expected to be 12,000 of Riffs and 18,000 of Raffs. Required: Construct a Contribution Format Income Statement segmented by product line and company total.
Problem 5A-7 (Algo) Cost Behavior; High-Low Method; Contribution Format Income Statement [LO5-10] Morrisey & Brown, Limited, is the sole distributor of a product with growing sales. Its income statements for the three most recent months follow: Morrisey & Brown, Limited Income Statements For the Three Months Ended September 30 July Sales in units Sales Cost of goods sold Gross margin Selling and administrative expenses: Advertising expense Shipping expense Salaries and commissions Insurance expense Depreciation expense Total selling and administrative expenses Net operating income 4,750 $ 546,250 327,750 218,500 31,800 35,500 81,000 6,550 18,000 172,850 $ 45,650 August 5,250 $603,750 362,250 241,500 31,800 38,100 87,300 6,550 18,000 181,750 $ 59,750 September 5,750 $ 661,250 396,750 264,500 31,800 40,700 93,600 6,550 18,000 190,650 $ 73,850 Required: 1. By analyzing data from the company's income statements, classify each of its expenses (including cost of goods sold) as either…
Exercise 6-4 (Algo) Basic Segmented Income Statement [LO6-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Last year the company produced and sold 35,500 units of Weedban and 24,000 units of Greengrow. Its annual common fixed expenses are $109,000. Required: Prepare a contribution format income statement segmented by product lines.
ouTube Maps er 1 i 05 K ces Mc Graw MU Problem 1-21 (Algo) Traditional and Contribution Format Income Statements [LO1-6] Marwick's Planos, Incorporated, purchases planos from a large manufacturer for an average cost of $1,492 per unit and then sells them to retall customers for an average price of $2,600 each. The company's selling and administrative costs for a typical month are presented below. Costs Selling: Advertising Sales salaries and commissions. Delivery of pianos to customers Utilities Depreciation of sales facilities Administrative: 9°F ain showers Executive salaries Insurance Clerical Depreciation of office equipment During August, Marwick's Planos, Incorporated, sold and delivered 62 planos. Required 1 Required 2 Cost Formula Required: 1. Prepare a traditional format Income statement for August. 2. Prepare a contribution format Income statement for August. Show costs and revenues on both a total and a per unit basis down through contribution margin. $933 per month $4,790…
Required information Exercise 5-8 (Static) Prepare a Cost-Volume-Profit (CVP) Graph [LO5-8] [The following information applies to the questions displayed below.] Karlik Enterprises distributes a single product whose selling price is $24 per unit and whose variable expense is $18 per unit. The company's monthly fixed expense is $24,000. Exercise 5-8 (Static) Part 1 Required: 1. Prepare a cost-volume-profit graph for the company using sales volumes of zero units and 8,000 units. Note: Use the line tool to draw three lines (Total Sales Revenue, Fixed Expense, Total Expense). Each line should only contain the two endpoints. For your graph to grade correctly, you must enter the exact coordinates. Once all points have been plotted, click on the line (not individual points) and a tool icon will pop up. You can use this to enter exact co-ordinates for your points as needed. To remove a line from the graph, click on the line and select delete option. $200,000 Dollars $150,000 $100,000 $50,000…
Unit sales (a) Selling price per unit Variable cost per unit Traceable fixed expense TB MC Qu. 12A-46 Woodridge Corporation manufactures numerous... Woodridge Corporation manufactures numerous products, one of which is called Alpha-32. The company has provided the following data about this product Multiple Choice $1,375,220 77,000 76.00 61.00 $1,323,000 $52.220 Help $ $ Management is considering increasing the price of Alpha-32 by 5%, from $76.00 to $79.80. The company's marketing managers estimate that this price hike would decrease unit sales by 5%, from 77,000 units to 73,150 units Assuming that the total traceable fixed expense does not change, what net operating income will product Alpha-32 earn at a price of $79.80 if this sales forecast is correct? Save & Exit