Anderson Publishing has two divisions: Book Publishing & Magazine Publishing. The Magazine division has been losing money for the last 5 years and Anderson is considering eliminating that division. Anderson's information about the two divisions is as follows: Magazine Division $ 3,443,800 Sales Revenue Cost of Goods sold Variable costs Fixed costs Gross Profit Operating Expenses Variable Fixed Net income Book Division $ 8,140,000 2,340,000 1,111,500 $ 4,688,500 1,166,500 1,287,600 989, 700 Total $ 11,583,800 3,506,500 2,399, 100 $ 5,678,200 169,000 2,950,000 $ 1,569,500 247,900 1,208,000 (466,200) 416,900 4,158,000 $ 1,103,300 Only 20 percent of the fixed manufacturing costs and 60 percent of the fixed operating expenses are directly attribute to each division. The remainder are common or shared between the two divisions. Required: 1. Present the financial information in the form of a segmented income statement (using the contribution margin approach). Present the financial information in the form of a segmented income statement (using the contribution margin approach) Book Division Magazine Total Division Sales revenue $ 8,140,000 $ 3,443,800 11,583,800 Variable costs Cost of goods sold (2,340,000) (1,166,500) (3,506,500) Operating expenses (169,000) (247,900) (416,900) 5,631,000 2,029,400 7,660,400 Contribution margin Direct fixed costs Manufacturing costs Operating expenses (222,300) (1,770,000) (257,520) (724,800) (479,820) (2,494,800) 3,638,700 1,047,080 4,685,780 Segment margin Common fixed costs Manufacturing costs Operating expenses (1,919,280) (1,663,200) Net income (loss) $ 1,103,300