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PLEASE ANSWER ALL OF THE QUESTIONS BELOW Divisional Income Statements with Service Department Charges Yozamba Technology has two divisions, Consumer and Commercial, and two corporate

PLEASE ANSWER ALL OF THE QUESTIONS BELOW

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Divisional Income Statements with Service Department Charges Yozamba Technology has two divisions, Consumer and Commercial, and two corporate service departments, Tech Support and Purchasing. The corporate expenses for the year ended December 31, 2017, are as follows: Tech Support Department $1,112,200 480,000 Purchasing Department Other corporate administrative expenses 685,000 Rectangular Snip Total corporate expense $2,277,200 The other corporate administrative expenses include officers' salaries and other expenses required by the corporation. The Tech Support Department charges the divisions for services rendered, based on the number of computers in the department, and the Purchasing Department charges divisions for services, based on the number of purchase orders for each department. The usage of service by the two divisions is as follows: Tech Support Purchasing Consumer Division 410 computers 5,600 purchase orders Commercial Division 260 10,400 Total 670 computers 16,000 purchase orders The service department charges of the Tech Support 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 follows: Consumer Commercial Revenues $9,979,700 $8,616,900 Cost of goods sold 5,544,300 4,351,100 Operating expenses 1,957,500 2,154,000 Prepare the divisional income statements for the two divisions. Do not round your interim calculations. Yozamba Technology Divisional Income Statements For the Year Ended December 31, 2017 Consumer Division Commercial Division $ $ $ $ Income from operations before service department charges Service department charges: Total service department charges $ $ $ $ Return on investment The income from operations and the amount of invested assets in each division of Beck Industries are as follows: Income from Operations Invested Assets Retail Division $154,000 $770,000 Commercial Division 54,000 300,000 Internet Division 84,000 560,000 a. Compute the return on investment for each division. (Round to the nearest whole number.) Division Percent Retail Division % Commercial Division % Internet Division % b. Which division is the most profitable per dollar invested? Commercial Division Internet Division Retail Division

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