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Savatey [412]
3 years ago
15

Contribution Income Statement and Operating Leverage

Business
1 answer:
Serjik [45]3 years ago
8 0

Answer:

See below

Explanation:

Contribution income statement for the year ended, December 31, 2017

Sales ($90 per crate × 50,000 crates)

$4,500,000

Less:

Variable costs ($80 per crates × 50,000 crates)

($4,000,000)

Contribution margin

$500,000

Less:

Fixed costs

($280,000)

Net income

$220,000

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