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Divedoral Income Statements with Service Departmest Charges Gral Tedhrdogy has thio duisices, Consumer and Commerdial, and two corporate service departments, Tech Support and Purchasing. The
Divedoral Income Statements with Service Departmest Charges Gral Tedhrdogy has thio duisices, Consumer and Commerdial, and two corporate service departments, Tech Support and Purchasing. The corperate experses for the year ended December 31, 20Y7, are as follows Tech Support Department $336,000 Purchasing Department 67,500 othe cerporate ldministatiw epeses 44,00 Total corporate experse $851,500 The other corporate admiristrative expenses indlude officers'salaries and other expenses required by the corporaticn, The Tech Support Department charges the dvislons fer services rendered, based on the number of and the Purdhasing Department charges divisions for services, based on the number cf purchase orders far each department. The usage of service by the two divisions is as follows: Tech Support Purchasing 1,800 purchase crders 2,700 4,500 purchase orders Consumer Division 300 computers Commercial Drvision 180 Total 480 computers The senice department charges dfthe Tech Support Degartment and the Purchasing Department are consitered controllable by the divisions. Corporate administrative expenses are not considered controllable by the dvisions. The revenues, cost of goods sold, and operating experses for the two divisiors are as follows Consumer Commercial Revenues Cot of goods sold 3,304,000 2,475,000 Cperating expenses 1,180,00 1,237,500 Pregare the divisignal lrscome statements for the two divisions. Round your interim calculations to three dedimal places, required. 5,900,000$4,950,000 GRAEL TECHNOLOGY Divisioral Income Statements For the Year Ended December 31, 20Y7 Consumer Division Commercial Division Operating experrs Grues proht Operating expenses 1,180,000 1,23 Prepare the divisional icome statements for the two divisions. Round your interim calculations to three decimal places, if required GRAEL TECHNOLOGY Divisional Income Statements For the Year Ended December 31, 20Y7 Consumer Division Commercial Division Operating expenses Gross prolit Income from oper ations before service department charges Less service department chares
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