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Prairie Electronics, located in Regina, manufactures three product lines: (1) highend speakers, (2) personal computers, and (3) handheld devices. For 2020, it compiled the following
Prairie Electronics, located in Regina, manufactures three product lines: (1) highend speakers, (2) personal computers, and (3) handheld devices. For 2020, it compiled the following budgeted data: Highend Personal Handheld Speakers Computers Devices Total Sales (in units) 240,000 450,000 340,000 Price (per unit) $ 1,300 $ 1,150 $ 275 Variable costs per unit: Direct materials $ 360 $ 430 $ 40 Direct labour 100 140 15 Overhead 60 130 30 Shipping 40 80 2 Sales commissions 50 90 10 Direct fixed costs: Salaries $40,560,000 $22,860,000 $22,850,000 Utilities 27,180,000 41,400,000 7,100,000 Depreciation 38,880,000 44,750,000 17,140,000 Common fixed costs: Corporate salaries $18,950,000 Building depreciation 15,810,000 Legal & accounting 23,430,000 Other 6,430,000 Requhed: 1. & 2. Prepare a segmented performance report; Compute the contribution margin percentage and segment margin percentage. (Round "Percentage" answers to 1 decimal place, (i.e., 0.123 should be considered as 12.3%\" PRAIRIE ELECTRONICS Segment Performance Report Profit Centres High-end Personal Handheld Total Speakers Computers Devices Company Sales revenues V Less: Variable costs: Direct materials Direct labour V Overhead Shipping V Sales commissions V Total variable expenses EA 0 $ 0 $ 0 $ 0 Contribution margin V Less: Direct fixed costs Salaries Utilities Depreciation V Total fixed expenses EA 0 $ 0 $ 0 $ 0 Segment margin Less: Common fixed costs Corporate salaries V Building depreciation Legal & accounting Other Total common fixed costs 0 Net income Contribution margin % % % Segment margin % %3-a. Allocate the common xed expenses equally to the three segments and prepare a performance report. (Negative amounts should be indicated with a minus sign.) 9 Answer is not complete. Segment margin Less: Common xed expenses Allocated portion Net income (loss)
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