Income Statements Segmented by Territory Assume Pentel has two product lines. The September income statements of each product line and the company are as follows: PENTEL OF AMERICA, LTD Product Line and Company Income Statements For Month of September Pens Pencils Total $ $ Sales 60,000 60,000 $ 120,000 Less variable expenses (27,000) (27,000) (54,000) Contribution margin 33,000 33,000 66,000 Less direct fixed expenses (16,000) (14,000) (30,000) Product $ $ margin 17,000 19,000 36,000 Less common fixed expenses Net income (15,500) $ 20,500 Pens and pencils are sold in two sales regions, West and East, as follows: West East Pen sales $ 35,000 $ 25,000 Pencil sales 20,000 40,000 Total sales $55,000 $65,000 The common fixed expenses (in thousands) are traceable to each territory as follows: West fixed expenses $5,500 East fixed expenses 6,500 Home office administration fixed expenses 3,500 Total common fixed expenses $15,500 The direct fixed expenses of pens, $16,000, and of pencils, $14,000, cannot be identified with either territory. The company's accountants were unable to allocate any of the common fixed expenses to the various segments. Prepare income statements segmented by territory for September, including a column for the entire firm. Do not use negative signs with your answers. Pentel of America, LTD. Territory and Company Income Statements For the Month of September Company Totals West East Sales: $ 0 $ 0 $ 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Pens Pencils Total sales Variable costs: Pens Pencils Total Contribution margin Direct fixed expenses Territory margin Common fixed expenses: Pens Pencils Home office Total 0 0 0 0 0 0 $ 0 0 $ 0 0 0 0 0 Net income $ 0 Check