Homework Use the information in the following table to compute each department\'

Question

Homework Use the information in the following table to compute each department's contribution to overhead (both in dollars and as a percent) (Round Contrlbution percent to 1 declmal place.) Cost of goods sold Gross proft Total direct experses 58,000 $188,000 $ 84,000 6.540 9,760 44,520 21,480 0,240 39,480 4.140 0000956 Contribution percent (of sales) which department contributes the largest dollar amount to tot O Department B Department C Which department contributes the highest percent (as a percent of sales) to total overhead? O Department C MacBook Air 4)

Explanation / Answer

Dept A Dept B Dept C Sales $ 58,000 $ 188,000 $ 84,000 Cost of goods sold      36,540        97,760      44,520 Gross Profit      21,460        90,240      39,480 Total Direct expenses         4,140        40,000         9,586 Contribution to overhead      17,320        50,240      29,894 Contribution percent (of sales) 29.9% 26.7% 35.6% Which department the largest dollar amount to total overhead? Department B -$50240 Which department contributes the highest percent (as a percent of sales) to total overhead. Department C - 35.6%

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