The Menswear Department of Nancy‘s Department Store had sales of $191,000, cost of goods sold of $134,000, indirect expenses of $13,550, and direct expenses of $27,800 for the current period. What is the Menswear Department's contribution to overhead as a percent of sales?
The contribution of overhead as percentage of sales will be found as follows: Overheads=134000+13550+27800=$175350 Sales=$191000 thus the percentage of overheads will be: overheads/sales =175350/191000 =0.91806 =91.806%
