Jersey Company uses variable costing for internal decision-making purposes and has the following information for April: Sales $810,000 Variable cost of goods sold 340,000 Fixed manufacturing costs 120,000 Variable selling and administrative expenses 90,000 Fixed selling and administrative expenses 50,000

Determine the:

(a) manufacturing margin
(b) contribution margin
(c) income from operations for Philadelphia Company

Brian has just finished college. he wants to set up a small business to make and sell fireworks. he registers his company and acquires a license from the government. he finds that most of his competitors are selling fireworks at an extremely low price. he would like to make more money, so he decides to innovate and develop better fireworks. he sells his fireworks at a higher price, and they are a huge hit with the customers. after a few years, he earns enough profit to set up a bigger fireworks factory that complies with the government’s health and safety regulations. he even starts exporting fireworks overseas. which type of economy does this scenario describe?