Robert's Corp., which began business at the start of the current year, had the following data: Planned and actual production: 40,000 units Sales: 37,0000 units at $ 15 per unit Production costs: Variable: $ 4 per unit Fixed: $ 260,000 Selling and administrative costs: Baria ble: $ 1 per unit Fixed: 4 32,000
1) What is the gross margin that the company would disclose on an absorption-costing income statement is ??
2) The contribution margin that the company would disclose on a variable-costing income statement is ??
The expert examines absorption costing contribution margin for an income statement.