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Olvinaltecome Statements with Support Department Allocations Horton Technology has two divisions Consumer and Commercial, and two corporate support departments, Tech Services and Purchasing. The corporate

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Olvinaltecome Statements with Support Department Allocations Horton Technology has two divisions Consumer and Commercial, and two corporate support departments, Tech Services and Purchasing. The corporate expenses for the year de December 31, 2017. are as follows: Tech Services Department $1.159.100 Purchasing Department 223,500 Other corporate administrative expenses 595,000 Total expense $1,977.600 The other corporate administrative expenses include officers' salaries and other expenses required by the corporation. The Tech Services Department locates costs to the divisions based on the number of computers in the department and the Purchasing Department allocates costs to the divisions based on the number of purchase orders for each department. The services used by the two divisions are as follows: Tech Services Purchasing Consumer Division 410 computers 5,200 purchase orders Commercial Division 260 9,700 Total 14,900 purchase orders The support department locations of the Tech Service Department and the Purchasing Department are considered controllable by the divisions Corporate administrative expenses are not considered controllable by the divisions. The revenues, cost of goods sold, and operating expenses for the two divisions are as foliows: Consumer Commercial 59,255,800 6.390,700 Cost of goods sold 5,143,300 3,433,500 Operating expenses 1.836.100 1.724,500 Prepare the divisional incomments for the two divisions. Do not round your interim calculations 670 computers Horton Technology Divisional Income Statements For the Year Ended December 31, 2017 Consumer Division Commercial Division Operating income before support department allocations Support department allocations: I Total support department allocations

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