User Account

All Pages

Income statement in the contribution margin

Assignment Help Accounting Basics
Reference no: EM13152793

Jindal Manufacturing Company provides you with the following income statement.

Jindal Manufacturing Company

Income Statement for the Most Recent Year

Revenue $2,435,000

Cost of Goods Sold 1,246,760=

Gross Margin $1,188,240
Administration Costs 425,000
Selling Costs 558,950=

Profit $204,290

You learn that Jindal incurred manufacturing overhead costs of $248,750 for the year and all of this cost is fixed. Moreover, the only variable selling costs are sales commissions at 5% of revenue. Finally, all administration costs are fixed.

Prepare an income statement in the contribution margin format. For simplicity, assume that the Jindal began and ended the year with zero inventories of any kind.

Reference no: EM13152793

Questions Cloud

What is the percent yield : Nitrogen gas reacts with hydrogen gas to make ammonia(NH3). 15.5 L of N2 reacts at STP to make 30 L of ammonia. What is the percent yield?
Explain what defines the cohort in probability : Statistics means never having to say you"re certain." What defines the cohort? All patients from a particular healthcare plan?
Case study-andrew and stephanie wilson : Identify and describe the key elements that must be taken into consideration when assessing whether a credit facility is 'not unsuitable' for a borrower.
Sarbanes-oxley act : The Sarbanes-Oxley Act of 2002 requires that the annual reports of public corporations include reports by management as well as the external auditors, certifying the adequacy and effectiveness of the company’s internal controls.
Income statement in the contribution margin : Prepare an income statement in the contribution margin format. For simplicity, assume that the Jindal began and ended the year with zero inventories of any kind.
What more needs to happen to complete the calvin cycle : In the process of carbon fixation, RuBP attaches a CO2 to produce a six-carbon molecule, which is then split to produce two molecules of 3-phosphoglycerate. After phosphorylation and reduction produces glyceraldehyde 3-phosphate (G3P), what more n..
What is the new pressure of the gas in pa : A 643 mL gas sample at STP is compressed to a volume of 285 mL, and the temperature is increased to 26C. What is the new pressure of the gas in Pa? Answer in units of Pa.
Accounting treatment for purchase of heat exchanger : What is the correct accounting treatment for the purchase of a heat exchanger?
Business plan for a web based company : You need to write the Business plan for a Web based company that currently exists or one that you create. Perhaps there is a business that you have thought about creating; this is an opportunity to put your thoughts on paper.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Problem related to calculators

If a calculator will sell for $42 each, the Variable Costs to produce it are $24 per unit, and the Fixed Costs per month are $39,600, then how many calculators must be sold per month to Break Even?

  Compute the cost of the ending inventory

Yount Company reports the following for the month of June Compute the cost of the ending inventory and the cost of goods sold using the average-cost method.

  What is the target net income

A company requires $1,020,000 in sales to meet its net income target. Its contribution margin is 30%, and fixed costs are $180,000. What is the target net income?

  Prepare the cash budget for the second quarter

Go Blue's excellent record in account receivable is expected to continue, with 60 percent of the billings collected in the month of the sales and the remaining 40 percent collected two months after the sales.

  Cost per pair of skis and bindings

Using the estimated sales and production of 10,000 pairs of skis as the expected volume, the accounting department has developed the following cost per pair of skis and bindings:

  Write a memo to your partner

Write a memo to your partner, citing the relevant tax authority, to explain how much of the $85,000 loss Mike can deduct on his tax return.

  Alleging breach of contract

Three months later, after Smith & Jones has continued performing under the contract, the E-Business board of directors tells the accountants that it is canceling their contract. Smith & Jones files a suit against Dan and E-Business, alleging breac..

  Eliminate the need for the auditors to assess risk

we are auditing the sales and collection cycle of a non-profit hospital. Just because it is a non-profit organization, that does not eliminate the need for the auditors to assess risk.

  Budgeted direct-labor costs for june

The direct labor hours are 11,000 and the direct labor rate is $10.50. Budgeted direct-labor costs for June would be:

  Common-size financial statement

A useful tool in financial statement analysis is the common-size financial statement. What does this tool enable the financial analyst to do?

  Expected postretirement benefit obligation

What is the expected postretirement benefit obligation at the end of 2011?

  Company balance sheet at the end of the month

The professor, who knew that Joe worked as a factory supervisor, had said that some of Joe's salary could end up on the company's balance sheet at the end of the month. This didn't make any sense to Joe since he gets the salary, not the company.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd