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 territorles-Northern and Southern. The Northern Territory recorded $400,000 in sales and $168,000 in varlable expenses during June; the remaining sales and varlable expenses were recorded In the Southern Territory. Flxed expenses of $212,000 and $130,000 are traceable to the Northern and Southern Territorles, respectlvely. The rest of the fixed expenses are common to the two territorles. b. The company Is the exclusive distributor for two products_Paks and Tibs. Sales of Paks and Tibs totaled $200,000 and $200,000, respectlvely, In the Northern territory during June. Varlable expenses are 25% of the selling price for Paks and 59% for Tibs. Cost records show that $90,000 of the Northern Terrltory's fixed expenses are traceable to Paks and $40,000 to TIbs, with the remainde common to the two products. Required: 1-a. Prepare contrlbution format segmented income statements for the total company broken down between sales territorles. 1-b. Prepare contribution format segmented Income statements for the Northern Territory broken down by product IIne. Complete this question by entering your answers in the tabs below. Prepare contribution format segmented income statements for the total company broken down between sales territories. (Round the percentage answers to one decimal place (i.e .1234 should be entered as 12.3).) Vulcan Company's contrlbution format Income statement for June is as follows: 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 territorles-Northern and Southern. The Northern Territory recorded $400,000in sales and $168,000 in varlable expenses during June; the remaining sales and varlable expenses were recorded in the Southern Territory. Fixed expenses of $212,000 and $130,000 are traceable to the Northern and Southern Territorles, respectlvely. The rest of the fixed expenses are common to the two territorles. b. The company Is the exclusive distributor for two productsPaks and TIbs. Sales of Paks and Tibs totaled $200,000 and $200,000, respectlvely, In the Northern territory during June. Varlable expenses are 25% of the selling price for Paks and 59% for Tibs. Cost records show that $90,000 of the Northern Territory's fixed expenses are traceable to Paks and $40,000 to Tibs, 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 territorles. 1-b. 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. Prepare contribution format segmented income statements for the Northern Territory broken down by product line. (Round the percentage answers to one decimal place (i.e.1234 should be entered as 12.3).) Music Teachers, Incorporated, Is an educational assoclation for music teachers that has 19,800 members. The assoclation operates from a central headquarters but has local membership chapters throughout the United States. Monthly meetings are held by the local chapters to discuss recent developments on topics of Interest to music teachers. The assoclation's magazine, Teachers' Forum, Is Issued monthly with features about recent developments in the field. The assoclation publishes books and reports and also sponsors professional courses that qualify for continulng professional education credit. The assoclation's statement of revenues and expenses for the current year is presented below. The board of directors of Music Teachers, Incorporated, has requested that a segmented Income statement be prepared showing the contribution of each segment to the association. The assoclation has four segments: Membership Division, Magazine Subscriptions Division, Books and Reports Division, and Continuing Education Division. Mike Doyle has been assigned responsibility for preparing the segmented Income statement, and he has gathered the following data: a. The 19,800 members of the assoclation pay dues of $100 per year, of which $20 covers a one-year subscription to the Teachers' Forum. Other benefits Include membership in the assoclation and chapter affillation. The portion of the dues covering the magazine subscription (\$20) should be assigned to the Magazine Subscriptions Division. b. A total of 3,000 one-year subscriptions to Teachers' Forum were also sold last year to nonmembers and librarles at $40 per subscription. In addition to subscriptions, the journal generated $100,000 in advertising revenues. c. The costs to produce the Teachers' Forum magazine Included $8 per subscription for printing and paper and $4 per subscription for postage and shipping. d. A total of 28,400 technical reports and professional texts were sold by the Books and Reports Division at an average selling price per unit of $25. Average costs per publication were $4 for printing and paper and $2 for postage and shipping. e. The assoclation offers a varlety of continulng education courses to both members and nonmembers. The one-day courses had a tultion cost of $75 each and were attended by 2,500 students. A total of 1,880 students took two-day courses at a tultion cost of $125 for each student. Outside Instructors were paid to teach some courses. per unit of $25. Average costs per publication were $4 for printing and paper and $2 for postage and shipping. e. The assoclation offers a varlety of continuing education courses to both members and nonmembers. The one-day courses had a tultion cost of $75 each and were attended by 2,500 students. A total of 1,880 students took two-day courses at a tultion cost of $125 for each student. Outside Instructors were paid to teach some courses. f. Salary costs and space occupled by division follow: Personnel costs are 25% of salarles in the separate divisions as well as for the corporate staff. The $206,000 in occupancy costs (which can be allocated to segments based on their square feet occupled) Includes $51,000 In rental cost for a warehouse used by the Books and Reports Division for storage purposes. Assume that this cost could be avolded if the division were eliminated. g. Printing and paper costs other than for magazine subscriptlons and for books and reports relate to the Continuing Education Division. h. General and administrative expenses Include costs relating to overall administration of the assoclation as a whole. The company's corporate staff does some malling of materlals for general administratlve purposes. The expenses that can be traced or assigned to the corporate staff, as well as any other expenses that are not traceable to the segments, will be treated as common costs. It is not necessary to distingulsh between varlable and fixed costs. Required: 1. Prepare a segmented Income statement for Music Teachers, Incorporated. This statement should show the segment margin for each division as well as results for the assoclation as a whole. division as well as results for the assoclation as a whole