Captain Candy Company allocates corporate indirect costs on the basis of revenues. Its chocolate division...

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Accounting

Captain Candy Company allocates corporate indirect costs on the basis of revenues. Its chocolate division had revenues of $8,525,000 and a contribution margin of 45% of sales. If the direct fixed costs were $725,000 and corporate allocated overhead costs were $906,000, what will be the chocolate divisions controllable margin if it has an 8% increase in revenues?

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