FARM
A
Revenue
Cost of goods sold
Gross margin
Direct operating expenses
Contribution margin
Overhead
Operating income
Cost of capital
EBIT
Interest
EBT
$1,500,000
25.5%
74.5%
23.5
51
3.0
48
$720,000
14
34
4.5
29.5
$442,500
$1,500,000
36.5%
64.5%
37.0
26.5
3.0
23.5
$352,500
16.6
6.9
2.5
4.4 $66,000
$1,500,000
31%
69%
21
48
3.0
45
$675,000
34
12
6.0
6
$90,000
30%
70%
17.5
53
3.5
49.5
17.5
32
1.5
30.5
FARM
A
Revenue
$1,500,000
$1,500,000
$1,500,000
Cost of goods sold
25.5%
36.5%
31%
30%
Gross margin
74.5%
64.5%
69%
70%
Direct operating expenses
23.5
37.0
21
17.5
Contribution margin
51
26.5
48
53
Overhead
3.0
3.0
3.0
3.5
Operating income
48
$720,000
45
$675,000
23.5
$352,500
49.5
Cost of capital
14
16.6
34
17.5
EBIT
34
6.9
12
32
Interest
4.5
2.5
6.0
1.5
EBT
29.5
$442,500
4.4
$66,000
6
$90,000
30.5