Instructions Starting Question Divisional Income Statements Instructions Wild Sun Airlines Inc. has two divisions organized as profit centers, the Passenger Division and the Cargo Division. The following divisional income statements were prepared: Wild Sun Airlines Inc. Divisional Income Statements For the Year Ended December 31, 20Y9 Passenger Cargo Division Division 2 Revenues $3,070,000.00 $3,070,000.00 3 Operating expenses 2.420,000.00 2,744,000.00 4 Income from operations before service department charges $650,000.00 $326,000.00 5 Service department charges: 6 Training 7 Flight scheduling Reservations 9 Total service department charges $135,000.00 $135.000.00 107,100.00 107.100.00 150,000.00 150,000.00 $392,100.00 $257,900.00 $392,100.00 $(66,100.00) 10 Income from operations The service department charge rate for the service department costs was based on revenues. Because the revenues of the two divisions were the same, the service department charges to each division were also the same. The following additional information is available: Previous N X