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Riverside Inc. makes one model of wooden canoe. Partial information for it follows:
Number of Canoes Produced and Sold 475 625 775
Total costs
Variable costs $ 64,600
Fixed costs 148,400
Total costs $221,330
Cost per unit
Variable cost per unit
Fixed cost per unit
Total cost per unit
Required:
1. Complete the missing values in the table above.
2. Suppose Riverside sells its canoes for $505 each. Calculate the contribution margin per canoe and the contribution margin ratio.
3. Next year Riverside expects to sell 660 canoes. Complete a contribution margin income statement for the company.
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Answers: 2
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