ScooterSport Inc. manufactures and sells two styles of scooter, Mountain Cat and City Dawg. These scooters are sold in two regions, the Colorado and Northern California region. Information about the two scooters is as follows:??
The sales unit volume for the territories and products for the period is as follows:??
Mountain Cat City Dawg
sales price $250 $150
Variable Cost of goods sold per unit 92 75
Manufacturing margin per unit $158 $ 75
Variable selling expenses per unit 104 30
Contribution margin per unit $ 54 $ 45
The sales unit volume for the territories and products for the period is as follows:
Colorado North California
Mountain Cat 6,000 3,000
City Dawg 0 3,000
a. Prepare a contribution margin by sales territory report. Round the contribution margin ratio for each product to two decimal places if required. Enter all amounts as positive numbers.
Contribution Margin by Territory
Colorado Northern California
Sales $ $
Variable cost of goods sold
Manufacturing margin $ $
Variable selling expenses
Contribution margin $ $
Contribution margin ratio (as a percent) % %