Ayayai, Ltd., manufactures boats and personal watercraft. The company operates three separate divisions: yachts, sailboats, and jet skis. The companys latest income statement is presented by product line as follows:

Yachts Sailboats Jet Skis Total

Sales revenue $ 63,149,000 $ 22,720,000 $ 6,059,000 $ 91,928,000

Variable cost of goods sold 31,090,000 12,310,000 3,639,000 47,039,000

Fixed cost of goods sold

9,003,000

5,020,000

700,000

14,723,000

Gross profit 23,056,000 5,390,000 1,720,000 30,166,000

Variable operating expenses 8,001,000 1,520,000 851,000 10,372,000

Fixed operating expenses 4,019,000 1,010,000 329,000 5,358,000

Allocated corporate costs

3,009,000

2,011,000

1,026,000

6,046,000

Operating income $ 8,027,000 $ 849,000 $ (486,000 ) $ 8,390,000

(a)

Prepare a segment margin income statement showing each of the three divisions. Fixed cost of goods sold and fixed operating expenses can be traced to each product line. (If the amount is negative then enter with a negative sign preceding the number e.g. -5,125 or parenthesis. e.g. (5,125).)

Yachts Sailboats Jet Skis Total

$

$

$

$

:

$

$

$

$