Chapter 8 1. BE.08.23A.ALGO Segmented Income Statement Gorman Nurseries Inc. grows poinsettias and fruit trees in a green house/nursery operation. The following information was provided for the coming year. 2. BE.08.17A.ALGO 3. BE.08.20A.ALGO Sales Variable cost of goods sold 4. BE.08.21A.ALGO Direct fixed overhead 5. BE.08.16A.ALGO 6. BE.08.22A.ALGO 7. BE.08.25A.ALGO 8. EX.08.40.ALGO Poinsettias Fruit Trees $970,000 460,000 160,000 $3,100,000 1,630,000 200,000 A sales commission of 4% of sales is paid for each of the two product lines. Direct fixed selling and administrative expense was estimated to be $146,000 for the poinsettia line and $87,000 for the fruit tree line. Common fixed overhead for the nursery operation was estimated to be $800,000; common selling and administrative expense was estimated to be $450,000. Required: Prepare a segmented income statement for Gorman Nurseries for the coming year, using variable costing. Note: Enter all amounts as positive numbers except operating loss, if applicable. Gorman Nurseries Inc. Segmented Income Statement For the Coming Year Poinsettias Fruit Trees 9. BE.08.18A 10. BE.08.26B 11. BE.08.19A.ALGO 12. BE.08.24A.ALGO Less variable expenses: Contribution margin Less direct fixed expenses: Segment margin Less common fixed expenses: 0000000000