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weakne 14-35 Cost : bread 14-34 Allocation of corporate costs to divisions. Cathy Carpenter, controller of the Sweet and Sal Snacks is preparing a presentation to senior executives about the performance of its four divisions. Summary data related to the four divisions for the most recent year are as follows: divisions ty quarters incurs 3. Comment on the results of the preceding reports. What recouOOO as follows: The Forbe agers has done some rese for the different indirect co ment costs, square feet of sp Insert Page Layout Formulas Data Review Vieww r upper manage Home DIVISIONS Crackers Cookies Total $ 870,000 S 975,000 654,000$ 501,000 $ 3,000,000 18001 378,000 | 658,000 | 314,000! 1680800 539,200 $ 597,000 S (4.000) 187,000 $1,319,200 Candy Nuts 2 3 Revenues 4 Operating Costs 5 Operating Income $1,800,000 2,880,000 $1,440,000 $1,080,000 $7,200,000 15,000 Direct costs Segment margin Number of employees 7 Identifiable assets 3,6006,6002,700 2,100 1 Square feet of space collected in a single actual rev- Allocate the indirect costs of Forbe allocation of headquarter costs Under the existing accounting system, costs incurred at corporate headquarters are coll cost pool ($1.2 million in the most recent year) and allocated to each division on the baifdefined enues. The top managers in each division share in a division-i as operating income less allocated corporate costs. 2 Allocate headquarter costs to the in the division operating income after all quarter costs on on the basis of its ncome bonus pool. Division income is 3 Which division manager do you thin do you think is "hett