Preparing a profitability analysis by departments. The Evergreen Products Company sells lawn and garden supplies to home owners through its Retail Department, gardening tools to garden centers through its Equipment Department, plastic containers to nurseries through its Plastic Products Department, and lawn furniture to garden centers through its Furniture Department.

The following data are for the year 19X1. All figures have been rounded to the nearest $100, and physical quantities have been omitted.

Instructions Prepare a profitability analysis by departments for the year 19X1.

Transcribed Image Text:

Selling and Administrative Plastic Retail Equipment Products Furniture Department Department Department Department Expenses Controllable-Variable $ 96,000 $ 54,700 $ 39,900 $ 83,000 Controllable-Fixed 42,700 31,100 16,700 21,100 Noncontrollable* 96,700 55,000 41,000 25,300 Manufacturing Overhead Variable 594,800 377,800 240,000 253,300 Fixed 312,300 199,200 139,500 148,300 Sales 1,174,500 625,800 479,500 506,500 "Allocated on basis of square footage in each department