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Midtown Retail operates a retail store in Kansas City, MO., and St. Louis, MO. The following information relates to the Kansas City facility: - The
Midtown Retail operates a retail store in Kansas City, MO., and St. Louis, MO. The following information relates to the Kansas City facility: - The store sold 64,200 units at $20.00 each, after having purchased the units from various suppliers for $14.50. Kansas City salespeople are paid a 1% commission based on gross sales dollars. - Kansas City's sales manager oversees the placement of local advertising contracts, which totaled $58,000 for the year. Local property taxes amounted to $18,500. - The sales manager's $69,000 salary is set by Kansas City's store manager. In contrast, the store manager's $138,000 salary is determined by Midtown's vice president. - Kansas City incurred $8,800 of other noncontrollable costs. - Nontraceable (common) corporate overhead totaled $72,000. Midtown's corporate headquarters is located in St. Louis, and the company uses responsibility accounting to evaluate performance. Required: Prepare a segmented income statement for the Kansas City store, being sure to disclose the segment contribution margin, the segment controllable profit margin, and segment profit margin
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