10) Healthy Environs Company provides cleaning services for residential and commercial customers. Following are data...
80.2K
Verified Solution
Link Copied!
Question
Accounting
10) Healthy Environs Company provides cleaning services for residential and commercial customers. Following are data for the month of June:
|
| Residential | Commercial | Total |
| Number of customers | 600 | 400 | 1,000 |
| Service revenue | $ 48,000 | $ 40,000 | $88,000 |
| Variable costs | 14,000 | 22,000 | 36,000 |
| Contribution margin | 34,000 | 18,000 | 52,000 |
| Fixed costs |
|
| 41,000 |
| Operating income |
|
| $11,000 |
For each type of customer, determine both the contribution margin per customer and the contribution margin ratio. What type of service is more profitable?
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.