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As a part of an employment interview, you are given the partial income statement and selected financial ratios shown for Sneaky Pete's, a chain of

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As a part of an employment interview, you are given the partial income statement and selected financial ratios shown for Sneaky Pete's, a chain of western stores. Sneaky Pete's is organized into two divisions: Mountain and Valley. You are told that corporate overhead costs are allocated to divisions based on relative sales. Required: a. Complete the income statements for both divisions and the corporation as a whole. (Enter all values as positive value. Round your answers to 1 decimal place.) Mountain Division Valley Division Corporate Sales Cost of sales Gross margin SGKA Allocated corporate costa Operating income Tax expense (20%) After-tax income ances 14.0 70.0 $ 1154 Gross margin percentage Operating margin Profit margin 65.00% 25.00% 20.00% 52 50% 21.50 % 17.20% 55.00% 22.20 54 17.78%

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