Brabant NV of the Netherlands is a wholesale distributor of Dutch cheeses that it sells throughout the European Community. Unfortunately, the companys profits have been declining, which has caused considerable concern. To help understand the condition of the company, the managing director of the company has requested that the monthly income statement be segmented by sales territory. Accordingly, the companys accounting department has prepared the following statement for March, the most recent month. (The Dutch currency is the euro which is designated by .)

	Sales Territory
	Southern Europe		Middle Europe		Northern Europe
Sales		314,000		798,000		703,000
Territorial expenses (traceable):
Cost of goods sold		91,000		238,000		315,000
Salaries		52,000		52,000		113,000
Insurance		9,400		15,900		14,000
Advertising		105,000		238,000		243,000
Depreciation		24,000		30,000		28,000
Shipping		18,000		30,000		43,000
Total territorial expenses		299,400		603,900		756,000
Territorial income (loss) before corporate expenses		14,600		194,100		(53,000)
Corporate expenses:
Advertising (general)		14,000		38,000		36,000
General administrative		21,000		21,000		21,000
Total corporate expenses		35,000		59,000		57,000
Net operating income (loss)		(20,400)		135,100		(110,000)

Cost of goods sold and shipping expenses are both variable; other costs are all fixed. Brabant NV purchases cheeses at auction and from farmers cooperatives, and it distributes them in the three territories listed above. Each of the three sales territories has its own manager and sales staff. The cheeses vary widely in profitability; some have a high margin and some have a low margin. (Certain cheeses, after having been aged for long periods, are the most expensive and carry the highest margins.)

Required:

3.

Prepare a new segmented contribution format income statement for March. Show a Total column as well as data for each territory. In addition, for the company as a whole and for each sales territory, show each item on the segmented income statement as a percent of sales. (Note: % columns may not total due to rounding.) (Input all amounts as positive values except losses and their percentages which should be indicated by a minus sign. Round your percentage answers to 1 decimal place.)

	Total		Southern Europe		Middle Europe		Northern Europe
	Amount in s	%	Amount in s	%	Amount in s	%	Amount in s	%
(Click to select)SalesSalariesShipping expenseGeneral administrationContribution marginAdvertising (general)Cost of goods soldNet operating income (loss)
Variable expenses:
(Click to select)SalariesContribution marginGeneral administrationInsuranceSalesCost of goods soldNet operating income (loss)Advertising (general)
(Click to select)Contribution marginNet operating income (loss)InsuranceAdvertising (general)SalesGeneral administrationSalariesShipping expense
Total variable expenses
(Click to select)Contribution marginGross margin
Traceable fixed expenses:
(Click to select)SalariesShipping expenseSalesGeneral administrationTerritorial segment marginContribution marginCost of goods soldNet operating income (loss)
(Click to select)Net operating income (loss)SalesTerritorial segment marginCost of goods soldInsuranceSalariesGeneral administrationContribution margin
(Click to select)SalesAdvertisingNet operating income (loss)Shipping expenseContribution marginCost of goods soldTerritorial segment marginGeneral administration
(Click to select)Contribution marginNet operating income (loss)DepreciationGeneral administrationTerritorial segment marginSalesCost of goods soldShipping expense
Total traceable fixed expenses
(Click to select)Contribution marginSalesGeneral administrationNet operating income (loss)Cost of goods soldShipping expenseTerritorial segment marginSalaries
Common fixed expenses:
(Click to select)Cost of goods soldInsuranceAdvertising (general)Shipping expenseContribution marginNet operating income (loss)SalariesSales
(Click to select)General administrationInsuranceSalesNet operating income (loss)Shipping expenseCost of goods soldSalariesContribution margin
Total common fixed expense
(Click to select)Net operating incomeNet operating loss