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Addax Company has the following information available for the past quarter: Division X Division Y Division Z Sales $500,000 $300,000 $275,000 Variable expenses 25% 28%

Addax Company has the following information available for the past quarter:

Division X Division Y Division Z
Sales $500,000 $300,000 $275,000
Variable expenses 25% 28% 32%
Fixed expenses controllable by division manager $100,000 $50,000 $40,000
Fixed expenses controllable by others $10,000 $5,000 $6,000

Unallocated expenses for all three divisions are $15,000. What is the contribution controllable by the division manager in Division X?

A.

$265,000

B.

$375,000

C.

$275,000

D.

$250,000

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