Question - Based upon the following data taken from the records of Bruce Inc., prepare a contribution margin analysis report for the year ended December 31, 2012.
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For Year Ended
December 31, 2012
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Actual
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Planned
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Difference
Increase
(Decrease)
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|
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Sales
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$312,000
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$325,000
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$(13,000)
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Less:
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Variable cost of goods sold
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$169,200
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$182,000
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$(12,800)
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Variable selling and administrative
expenses
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32,400
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39,000
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(6,600)
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Total
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$201,600
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$221,000
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$(19,400)
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Contribution margin
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$110,400
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$104,000
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$ 6,400
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Number of units sold
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120,000
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130,000
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(10,000)
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Per unit:
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Sales price
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$2.60
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$2.50
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.10
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Variable cost of goods sold
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1.41
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1.40
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.01
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Variable selling and administrative
expenses
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.27
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.30
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(.03)
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