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Exercise 12-32 Segmented Income Statement; TV Cable Company (LO 12-5) Countywide Cable Services, Inc., is organized with three segments: Metro, Suburban, and Outlying. Data for
Exercise 12-32 Segmented Income Statement; TV Cable Company (LO 12-5)
Countywide Cable Services, Inc., is organized with three segments: Metro, Suburban, and Outlying. Data for these segments for the year just ended follow.
Metro | Suburban | Outlying | |||||||
Service revenue | $ | 980,000 | $ | 780,000 | $ | 380,000 | |||
Variable expenses | 156,000 | 106,000 | 56,000 | ||||||
Controllable fixed expenses | 359,000 | 279,000 | 109,000 | ||||||
Fixed expenses controllable by others | 186,000 | 156,000 | 46,000 | ||||||
In addition to the expenses listed above, the company has $60,000 of common fixed expenses. Income-tax expense for the year is $260,000. Required: 1. Prepare a segmented income statement for Countywide Cable Services, Inc.
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