B-22.03 Problem - B-22.03 Printers Plus is a retailer of...

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B-22.03 1 of 2 Printers Plus is a retailer of printers and ink cartridges. The printers carry a low profit margin and the ink cartridges a very high margin. Following is an aggregated budgeted performance plan for 20X5. Budgeted Performance Report All Stores For the Year Ending December 31, 20X5 Sales Printers $ 4,500,000 Cartridges 4,500,000 Total sales $ 9,000,000 Less: Variable expenses Printers $ 4,000,000 Cartridges 1,500,000 Total variable expen Total variable ses $ 5,500,000 expenses Contribution margin $ 3,500,000 Traceable fixed costs 1,550,000 Location margin $ 1,950,000 Common fixed costs 1,400,000 Stores margin $ 550,000 Although total sales met expectations for the year, management is upset that the targeted margins were not achieved. Following is the "store by store" actual performance report. Evaluate the detailed data and write a paragraph explaining the loss.
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