Explore BrainMass

Explore BrainMass

    Preparing a Contribution Format Income Statement

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Please provide a solution in Word doc.

    Grater Inc. sells product A and product B. Revenue and cost information relating to the products follow:

    (Please see the attached file).

    Common fixed expenses in the company total $390,000 annually. Last year the company produced and sold 10,000 of Product A and 15,000 of Product B.

    Prepare a contribution format income statement for the year segmented by product lines. Show details clearly.

    © BrainMass Inc. brainmass.com June 4, 2020, 3:31 am ad1c9bdddf
    https://brainmass.com/business/financial-statements/preparing-contribution-format-income-statement-520033

    Attachments

    Solution Preview

    *** Solution in proper format attached.

    Sales - A 480,000 (10,000 x 48.00)
    Variable expenses 245,000 (10,000 x ...

    Solution Summary

    This solution shows the proper contribution format income statement for Grater Inc.

    $2.19

    ADVERTISEMENT