Question

The following information is available for Crane Company: Sales $480000 Total fixed expenses $150000 Cost of goods sold 290000 Total variable expenses 260000 A CVP income statement would report __________.

Answer 1

The CVP income statement would report a contribution margin $220000.

Step-by-step explanation:

CVP income statement

sales $480000

total variable cost ($260000)

contribution margin $220000

total fixed expenses ($150000)

operating income $70000

Therefore, The CVP income statement would report a contribution margin $220000.