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J Coronado, Ltd. is a local coat retailer. The store’s accountant prepared the following income statement...

J Coronado, Ltd. is a local coat retailer. The store’s accountant prepared the following income statement for the month ended January 31:

Sales revenue $ 759,000
Cost of goods sold 313,500
Gross margin 445,500
Operating expenses
  Selling expense $ 23,770
  Administrative expense 50,710 74,480
Net operating income $ 371,020


Coronado sells its coats for $250 each. Selling expenses consist of fixed costs plus a commission of $6.50 per coat. Administrative expenses consist of fixed costs plus a variable component equal to 5% of sales.

Prepare a contribution format income statement for January. (Round per unit cost to 2 decimal places, e.g. 52.75 and all other answers to 0 decimal places, e.g. 5,275.)

sing the format y = mx + b, develop a cost formula for total expenses. (Round unit cost to 2 decimal places, e.g. 52.75 and all other answers to 0 decimal places, e.g. 5,275.)

Operating expenses =

If 3,300 coats are sold next month, what is the expected total contribution margin? (Round answer to 0 decimal places, e.g. 5,275.)

Contribution margin=

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ekkarill92 answered 2 years ago
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