Question
24. Assume a company with two divisions (A and B) prepared the following segmented income statement: A B Total Sales $ ? $ 300,000 $
24.
Assume a company with two divisions (A and B) prepared the following segmented income statement:
| A | B | Total | ||||||||||
| Sales | $ | ? | $ | 300,000 | $ | ? | ||||||
| Variable expenses | 120,000 | 140,000 | 260,000 | |||||||||
| Contribution margin | ? | ? | ? | |||||||||
| Traceable fixed expenses | 60,000 | ? | ? | |||||||||
| Segment margin | $ | ? | $ | 80,000 | ? | |||||||
| Common fixed expenses | 50,000 | |||||||||||
| Net operating income | $ | ? | ||||||||||
If Division As contribution margin ratio is 40%, then what is the companys net operating income?
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Cost Accounting A Managerial Emphasis
Authors: Horngren, Srikant Datar, George Foster, Madhav Rajan, Christ
6th Canadian edition
978-0133392883
