Week 6 Class Exercise

Week 6 Class Exercise - b. Compute the contribution...

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Week 6 Class Exercise 1. The following information is available for Wildwood Consulting Company and its two offices: Euclid North Royalton Office Office Net sales $250,000 $400,000 Fixed costs: Controllable by division manager 78,000 48,000 Controllable by others 4,000 8,000 Variable costs: Cost of merchandise sold 30,000 120,000 Operating expenses 15,000 60,000 Unallocated costs were $152,000. Required: a. Compute the contribution margin for the Euclid Office.
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Unformatted text preview: b. Compute the contribution controllable by the manager of the North Royalton Office. c. Compute the contribution by segment for the Euclid Office. d. Compute the net income for Wildwood Consulting Company. 2. The following information is available for the Keokuk Company: Sales $2,000,000 Invested capital 500,000 ROI 20% Compute: a. capital turnover b. net income c. return on sales...
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Week 6 Class Exercise - b. Compute the contribution...

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