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Management is disappointed with the company's performance and is wondering what can be done to improve profits. By examining sales and cost records, you have

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Management is disappointed with the company's performance and is wondering what can be done to improve profits. By examining sales and cost records, you have determined the following a. The company is divided into two sales territories-Northern and Southern. The Northern Teritory recorded $400.000 in sales and $208,000 in variable expenses during June; the remaining sales and variable expenses were recorded in the Southern Teritory Foxed expenses of $172.000 and $88,000 are traceable to the Northern and Southern Teritories, respectively. The rest of the fixed expenses are common to the two termitories b. The company is the exclusive distributor for two products-Paks and Tibs. Sales of Paks and Tibs totaled $125.000 and $275.000. respectively, in the Northern tertory during June Variable expenses are 30% of the selling price for Paks and 62% for Tibs. Cost records show that $75,000 of the Northern Territory's fixed expenses are traceable to Paks and $60,500 to Tbs, with the remainder common to the two products Required 1-a. Prepare contribution format segmented income statements for the total company broken down between sales temtories 1b Prepare contribution format segmented income statements for the Northern Territory broken down by product line Complete this question by entering your answers in the tabs below. Reg 1A Rea 18 1 of 3 Next e to search e DELL prt sc F10 home ed 12 F2 F4 FS nsery FO A + 3 4 5 6 7 backs 8 O Y P 5 4 6 F D G J 1 2 3 ? V O page up alt alt ctri O T C Vulcan Company's contribution format income statement for June is as follows: Vulcan Company Income Statement For the Month Ended June 30 Sales Variable expenses Contribution margin Fixed expenses $ 800,00 300,000 see,e0e 460,e00 $ 40,000 Net operating income Management is disappointed with the company's performance and is wondering what can be done to improve p sales and cost records, you have determined the following: a. The company is divided into two sales territories-Northerr and Southern. The Northern Territory recorded $40 $208,000 in variable expenses during June; the remaining sales and variable expenses were recorded in the So Fixed expenses of $172.000 and $88.000 are traceable to the Northern and Southern Territories, respectively The expenses are common to the two territories b. The company is the exclusive distributor for two products-Paks and Tibs Sales of Paks and Tibs totaled $125,000 respectively, Iin the Northern territory during June Variable expenses are 30% of the selling price for Paks and 62% records show that $75,000 of the Northern Ternitory's fixed expenses are traceable to Paks and $60,500 to Tibs. wia common to the two products Prey 1 of 3 Next e to search DELL prt sc F10 home FI F2 F3 F5 F7 F4 F6 FB F9 F11 % & 2 4 6 7 W R T Y U P 4 S F D J K N V

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