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Eastern Merchants shows the following information for its two divisions for year 1: Eastern Western sales revenue 1,360,000 3,960,000 Cost of sales 849,500 1,980,000 Allocated
Eastern Merchants shows the following information for its two divisions for year 1:
Eastern | Western | |
sales revenue | 1,360,000 | 3,960,000 |
Cost of sales | 849,500 | 1,980,000 |
Allocated corporate overhead | 81,600 | 237,600 |
Other general and administration | 174,500 | 1,116,000 |
Required: (a) Compute divisional operating income for the two divisions. Ignore taxes. (Enter your answers in thousands of dollars. Round your answers to 1 decimal place.)
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