Question

Ultimo Co. operates three production departments as profit centers. The following information is available for its most recent year. Department 1's contribution to overhead as a percent of sales is:
Dept. Sales Cost of Goods Sold Direct Expenses Indirect Expenses
1 $ 1,170,000 $ 717,000 $ 160,500 $ 97,000
2 570,000 167,000 57,000 117,000
3 870,000 317,000 167,000 37,000
a. 56.7%
b. 25.0%
c. 34.7%
d. 34.0%
e. 61.6%

Answer 1

Answer:

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Explanation: