Question
Ieso Company has two stores: J and K. During November, Ieso Company reported operating income of $30,000 and sales of $450,000. The contribution margin in
Ieso Company has two stores: J and K. During November, Ieso Company reported operating income of $30,000 and sales of $450,000. The contribution margin in Store J was $100,000, or 40% of sales. The segment margin in Store K was $30,000, or 15% of sales. Traceable fixed expenses were $60,000 in Store J, and $40,000 in Store K.
What were the total sales in Store J? A. $100,000. B. $150,000. C. $250,000. D. $400,000.
What were the total variable expenses in Store K? A. $70,000. B. $110,000. C. $130,000. D. $200,000.
What were Ieso Company's total fixed expenses for the year? A. $40,000. B. $100,000. C. $140,000. D. $170,000.
What was the segment margin ratio in Store J? A. 16%. B. 24%. C. 40%. D. 60%.
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