For its top managers, Global Travel formats its income statement as follows:
Click the icon to view the income statement.
Global's relevant range is between sales of $ and $
Read the requirements.
Requirement Calculate the contribution margin ratio.
Select the labels and enter the amounts to calculate the contribution margin ratio. Enter the contribution margin ratio as a whole percentage,
Contribution margin Net sales revenue Contribution margin ratio
$$
Requirement Prepare two contribution margin income statements: one at the $ sales level and one at the $ sales level. Hint: The proportion of each sales dollar that goes toward variable costs is constant within the relevant range.
First prepare the contribution margin incomestatement at the $ sales level. Use a minus sign or parentheses for a loss.
Global Travel
Contribution Margin Income Statement
Three Months Ended March
Net Sales Revenue
$
