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HW 0 Required information Exercise 23-9 Analyzing income effects from eliminating departments LO P4 [The following information applies to the questions displayed below) Suresh Co,

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HW 0 Required information Exercise 23-9 Analyzing income effects from eliminating departments LO P4 [The following information applies to the questions displayed below) Suresh Co, expects its five departments to yield the following income for next year. Dept. M $78,000 Dept. N $40, Dept. o $71,000 Dept. P $57,000 Dept. T $ 39, eee Total $285,000 Sales Expenses Avoidable Unavoidable Total expenses Net income (loss) 15,300 56,200 71,500 $ 6,500 43, eee 19,200 62,200 $(22, 200) 21,900 5,300 27,200 $43,800 19,500 43,800 63,300 $(6,300) 47,700 147,400 17,500 142,000 65,200 289,400 $(26,200) $ (4,400) Recompute and prepare the departmental income statements (including a combined total column) for the company under each of the following separate scenarios. Exercise 23-9 Part 1 (1) Management eliminates departments with expected net losses. DEPARTMENTS WITH EXPECTED NETLOSSES ELIMINATED Dept. M Dept. N Dept. o Dept. P Dept. T Total Nel Income (loss) $ 6,500 $(22,200) $43,800 $(6,300) $(26,200) $ (4,400) Recompute and prepare the departmental income statements (including a combined total column) for the company each of the following separate scenarios. Exercise 23-9 Part 1 (1) Management eliminates departments with expected net losses. DEPARTMENTS WITH EXPECTED NET LOSSES ELIMINATED Dept. M Dept. N Dept. o Dept. P D ept. T Total Sales Expenses Avoidable Unavoidable Total expenses Net income (loss) GO

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