d es Anderson Publishing has two divisions: Book Publishing and Magazine Publishing. The Magazine division has been losing money for the last five years and Anderson is considering eliminating that division. Anderson's Information about the two divisions is as follows: Sales Revenue Cost of Goods sold variable manufacturing costs Fixed manufacturing costs Gross Profit Operating Expenses Variable operating expenses Fixed operating expenses Net income Required 1 Complete this question by entering your answers in the tabs below. Sales revenue Variable costs Book Division $ 7,960,000 Required 2 2,160,000 1,093,500 $4,706,500 Manufacturing costs Contribution margin Direct fixed costs 151,000 2,932,000 $ 1,623,500 Only 20 percent of the fixed manufacturing costs and 60 percent of the fixed operating expenses are directly attributable to each division. The remaining are common or shared between the two divisions. Required: Manufacturing costs 1. Present the financial Information in the form of a segmented income statement (using the contribution margin approach). 2. What will be the impact on net Income If the Magazine Division is eliminated? Magazine Division $ 3,367,700 1,076,800 1,241,200 $ 1,049,700 Book Division $7,960,000 221,500 1,197,900 $ (369,700) Present the financial information in the form of a segmented income statement (using the contribution margin approach). Magazine Division S Total $ 11,327,700 3,236,800 2,334,700 $ 5,756,200 372,500 4,129,900 $ 1,253,800 Total 3,367,700 S 11,327,700

Anderson Publishing has two divisions. Book Publishing and Magazine Pubilshing The Magazine division has been losing money for the last five years and Anderson is considering eliminating that division. Anderson's information about the fwo divisions is os follows Only 20 percent of the fixed manufacturing costs and 60 percent of the fixed operating expenses are ditectly attnbutable to each division. The remaining 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). 2. What will be the impact on net income if the Magazine Division is eliminated? Complete this question by entering your answers in the tabs below. Present the financial information in the form of a segmented income statement (using the contribution margin approach)