Problem 22.1A

PROBLEM 22.1A Preparing and Using Responsibility Income Statements Hernandez Enterprises has two divisions-Retail and Wholesale. Cost and revenue data for each division for the current month are as follows. In addition, fixed costs that are common to both divisions amount to $96,000. Instructions whole percentages). not? hat it contributes to the company? Should the common fixed costs be considered when determining the profitability of the two divisions ndividually? Why or why not? Sart C: Explain. Based on the information about each division's contribution margin ration in your text Part C, how should the company lecide which division to advertise