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  3. 3 the talk company manufactures a product that is expected...

Question: 3 the talk company manufactures a product that is expected...

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3. The talk Company manufactures a product that is expected o in r $24 per unit in variable production costs and sell or S40 per unit. The sales commission is 10% o the sale price. Due to intense competition, Stalk actually sold 320 un for $31.25 per unit. The actual variable production costs incurred were $25.00 per unit. Calculate the total contribution margin and contribution margin ratio at the expected pricelcosts and the actual pricelcosts. How might management use t Complete the expected contribution margin by entering the appropriate amounts to calculate the total contribution margin and contribution margin ratio. (Enter the contribution margin ratio to two decimal place, X.XX%.) Expected Contribution Margin Net Sales Revenue Variable Costs: Production Costs Sales Commission Contribution Margin Contribution Margin Ratio Complete the actual contribution margin by entering the appropriate amounts to calculate the total contribution margin and contribution margin ratio Enter the contribution mar n ratio o two decimal place, X.XX%. Actual Contribution Margin Net Sales Revenue Variable Costs: Production Costs Sales Commission Contribution Margin Contribution Margin Ratio

How might management use this information? The actual results varied significanly from the expected results, Management should investigate the cause(s) for the difference in the The company may decide to the contribution margin. Also, because the prediction was significantly different from the actual results, management may also want to evaluate the methods the company uses to

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