Ask Question
9 January, 02:08

During its most recent fiscal year, Simon Enterprises sold 200,000 electric screwdrivers at a price of $15 each. Fixed costs amounted to $400,000 and pretax income was $600,000. What amount should have been reported as variable costs in the company's contribution margin income statement for the year in question?

+5
Answers (1)
  1. 9 January, 02:14
    0
    Sales-VC=Contribution

    Contribution-FC=600000

    Contribution=1000000

    Sales-VC=1000000

    VC=200000*15-1000000

    VC=2000000

    d. $2,000,000.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “During its most recent fiscal year, Simon Enterprises sold 200,000 electric screwdrivers at a price of $15 each. Fixed costs amounted to ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers