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hp 3 14
performed n -2. How will have bee ion g re The الالات العالw// || د || F | | G H// // // | ||
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Answer #1
Lake Region Coastal region
Sales Revenue $41,10,000 $1,30,20,000
Less: Cost of sales $26,66,300 $65,10,000
Gross Margin $14,43,700 $65,10,000
Less: Allocated corporate overhead $2,46,600 $7,81,200
Less: Other general and administrative $5,48,900 $37,50,000
Operating Income $6,48,200 $19,78,800
Gross Margin %(Gross Margin / Sales Revenue) 35.13% 50.00%
Operating Margin %(Operating Margin / Sales Revenue) 15.77% 15.20%
Gross Margin in coastal is greater than Lake
Corporate overhead is allocated on the basis of Revenue
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