Delos, Inc. reports the following information for April: Sigma Gamma Units sold 2,000 units 750 units Sales price per unit $300 $700 Variable manufacturing cost per unit 200 460 Sales commission per unit: Sigma: 8% of sales price 24 Gamma: 8% of sales price 56 What is the contribution margin of Sigma? A. $152,000 B. $552,000 C. $200,000 D.
Delos, Inc. reports the following information for April: Sigma Gamma Units sold 2,000 units 750 units Sales price per unit $300 $700 Variable manufacturing cost per unit 200 460 Sales commission per unit: Sigma: 8% of sales price 24 Gamma: 8% of sales price 56 What is the contribution margin of Sigma? A. $152,000 B. $552,000 C. $200,000 D.
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 1PA: A company sells small motors as a component part to automobiles. The Model 101 motor sells for $850...
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Delos, Inc. reports the following information for April:
|
Sigma
|
Gamma
|
Units sold
|
2,000 units
|
750 units
|
Sales price per unit
|
$300
|
$700
|
Variable
|
200
|
460
|
Sales commission per unit:
|
|
|
Sigma:
8%
of sales price |
24
|
|
Gamma:
8%
of sales price |
|
56
|
What is the contribution margin of Sigma?
$152,000
$552,000
$200,000
$77,000
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