Adrian Cursio & Associates is a consulting business that operates in a rented office in Melbourne CBD, offering taxation, superannuation and insurance advice. The office has a main reception area (servicing all departments) with the remaining floor space allocated to the three departments. The following information is provided for the three departments:

Divisional costs includes professional staff wages to directly providing advice and conduct consulting to clients. The common cost made up of reception wages and rent is totalled at $165,000. If the common cost is allocated by income, what is the profit (or loss) made by the Insurance division?

a.

$37,784.82

b.

$35,000

c.

$355,000

d.

$142,215.18