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Required information Exercise 23-9 (Algo) Segment elimination LO P4 [The following information applies to the questions displayed below] Suresh Company reports the following segment
Required information Exercise 23-9 (Algo) Segment elimination LO P4 [The following information applies to the questions displayed below] Suresh Company reports the following segment (department) income results for the year. Sales Expenses Department M $ 80,000 Department N $ 42,000 Department O $ 76,000 Department P $ 61,000 Department T $41,000 Total $ 300,000 Avoidable 16,300 44,200 Unavoidable 57,000 20,400 Total expenses Income (loss) 73,300 64,600 $6,700 $ (22,600) 20,300 5,500 25,800 $ 50,200 20,500 www.s0,200 70,700 49,500 18,900 150,800 152,000 68,400 302,800 $ (9,700) $ (27,400) $ (2,800) Exercise 23-9 (Algo) Part 1 a. If the company plans to eliminate departments that have sales less than avoidable costs, which department(s) would be eliminated? Department Decision Department M Department N Department Of Department P Department T < Prev 9 10 of 16 Next Required information Exercise 23-9 (Algo) Segment elimination LO P4 [The following information applies to the questions displayed below] Suresh Company reports the following segment (department) income results for the year. Sales Expenses Department M $ 80,000 Department N $ 42,000 Department O $ 76,000 Department P $ 61,000 Department T $41,000 Total $ 300,000 Avoidable Unavoidable 16,300 44,200 57,000 20,400 Total expenses 73,300 64,600 20,300 5,500 25,800 20,500 49,500 150,800 50,200 18,900 152,000 70,700 68,400 302,800 Income (loss) $6,700 $ (22,600) $ 50,200 $ (9,700) $ (27,400)) $ (2,800) Exercise 23-9 (Algo) Part 2 b. Compute the total increase in income if the departments with sales less than avoidable costs, as identified in part a, are eliminated. Total increase in income:
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