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Calculate the company weighted-average contribution margin

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Problem - Mega Electronix sells television sets and DVD players. The business is divided into two divisions along product lines. CVP income statements for a recent quarter's activity are presented below.

TV Division DVD Division Total

Sales $600,000 $400,000 $1,000,000

Variable costs 450,000 240,000 690,000

Contribution margin $150,000 $160,000 310,000

Fixed costs 124,000

Net income $ 186,000

Calculate the company's weighted-average contribution margin ratio.

Reference no: EM131824724

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