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Finch Company operates three segments. Income statements for the segments imply that profitability could be improved if Segment A were eliminated PINCH COMPANY Income Statements

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Finch Company operates three segments. Income statements for the segments imply that profitability could be improved if Segment A were eliminated PINCH COMPANY Income Statements for Year 2 Segment Sales Cost of goods sold Sales commissions Contribution margin General fixed operating expenses (allocation of president's salary) Advertising expense (specific to individual divisions) Net Income floss) B $ 166,000 $ 236,000 (129,000) (82,000) (21,000) (27,000) 16,000 127,000 (35,000) (39,000) (2.000) (16,000) $ (26,000) $ 72,000 $256,000 (94,000) (24,000) 138,000 (31,000) 0 $107.000 Required 0. Prepare a schedule of relevant sales and costs for Segment A. b. Prepare comparative Income statements for the company as a whole under two alternatives: (1) the retention of Segment A and (2) the elimination of Segment A Required a. Prepare a schedule of relevant sales and costs for Segment A. b. Prepare comparative income statements for the company as a whole under two alternatives: (1) the retention of Segment A and (2) the elimination of Segment A. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a schedule of relevant sales and costs for Segment A. Relevant Rev. and Cost items for Segmont A Sales Cost of goods sold Effect on income $ 0 Roqulrou a Required B > Complete this question by entering your answers in the tabs below. eBook Required A Required B eferences Prepare comparative income statements for the company as a whole under two alternatives: (1) the retention of Segment A and (2) the elimination of Segment A. FINCH COMPANY Comparative Income Statements for the Year 2 Decision Keep Seg. A Eliminato Seg. A Sales Cost of goods sold Sales commissions Contribution margin $ 0 $ 0 General foed operating expenses Advertising expense Net Income $ 0 $ 0

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