50.1K

Verified Solution

Link Copied!

part 1

part 2

Pro Bike manufactures and sells two types of bikes: road bikes and mountain bikes. The company sold 570 units of each type of bike during the year Per unit Road bikes Mountain bikes Sales price $ 1,700 $ 1,200 Variable cost of goods sold 1,130 650 Variable selling and administrative expenses 60 70 a. Compute contribution margin (in dollars) for each product b. Compute contribution margin ratio for each product which product has the better contribution margin ratio? Complete this question by entering your answers in the tabs below. Required A Required B Compute total contribution margin (in dollars) for each product. Road bikes Mountain bikes Contribution margin Required Required B > Pro Bike manufactures and sells two types of bikes: road bikes and mountain bikes. The company sold 570 units of each type of bike during the year Per unit Sales price Variable cost of goods sold Variable selling and administrative expenses Road bikes $ 1,700 1,138 be Mountain bikes $ 1,200 650 70 a. Compute contribution margin (in dollars) for each product b. Compute contribution margin ratio for each product. Which product has the better contribution margin ratio? Complete this question by entering your answers in the tabs below. Required A Requred B Compute contribution margin ratio for each product. Which product has the better contribution margin ratio? Road bikes Mountain bikes Contribution margin ratio % Which product has the better contribution margin ratio? % Required A fequeda

Answer & Explanation Solved by verified expert

See Answer