27. Explaining sales and cost changes. You have acquired the following data for Years 1 and 2 for…


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27. Explaining sales and cost changes. You have acquired the following data for Years 1 and 2 for… 1 answer below » 27.       Explaining sales and cost changes. You have acquired the following data for Years 1 and 2 for Harry’s Horseback Rides. Year 1                        Year 2 Dollar Increase View complete question » Revenue from Rides ………………………………………… $750,000 100.0% $840,000 100.0% $90,000 27.       Explaining sales and cost changes. You have acquired the following data for Years 1 and 2 for Harry’s Horseback Rides. Year 1                        Year 2 Dollar Increase Revenue from Rides ………………………………………… $750,000 100.0% $840,000 100.0% $90,000 Variable Costs of Operations…………………………… 495,000 66.0 560,000 66.7 65,000 Contribution Margin ……………………………………….. $255,000 34.0% $280,000 33.3% $25,000 Price per Person per Hour ………………………………. $10 $12 Write a short report to Harry’s uncle who loaned Harry the money to start this business. Explain the cause of the increase in total contribution margin between Year 1 and Year 2. Your report should consider the effect of each of the following: change in price per person per hour, change in volume, and change in operating costs per    admission. View less » Dec 16 2015 11:31 AM

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