Accounting Question ,business and finance homework help

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Business Finance

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J Bryant, Ltd. is a local coat retailer. The store’s accountant prepared the following income statement for the month ended January 31. Sales revenue $ 779,000 Cost of goods sold 334,500 Gross margin 444,500 Less operating expenses Selling expense $ 24,720 Administrative expense 51,100 75,820 Net operating income $ 368,680 Bryant sells its coats for $250 each. Selling expenses consist of fixed costs plus a commission of $6.50 per coat. Administrative expenses consist of fixed costs plus a variable component equal to 5% of sales. Contribution Format Income Statement Total Sales Less: Variable Expenses Cost of Goods Sold Selling Expense Administrative Expenses Total Variable Expenses Contribution Margin Less: Fixed Expenses Selling Expense Administrative Expenses Total Fixed Expenses Operating Income Per Unit 779,000.00 250.00 393,704.00 385,296.00 107.35 6.50 12.50 126.35 123.65 334,500.00 20,254.00 38,950.00 4,466.00 12,150.00 16,616.00 368,680.00 QUESTION: 1. Operating Expenses = __________x + $_______________ 2. If 2,700 coats are sold next month, what is the expected total contribution margin? (Round answer to 0 decimal places, e.g. 45,000.)
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J Bryant, Ltd. is a local coat retailer. The store’s accountant prepared the following income
statement for the month ended January 31.
Sales revenue
Cost of goods sold

$ 779,000
334,500

Gross margin
444,500
Less operating expenses
Sel...


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