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! Required information [ The following information applies to the questions displayed below. ] Refer to the data In Exerclse AH 6 - 3 .
Required information
The following information applies to the questions displayed below.
Refer to the data In Exerclse AH Assume Annle's Homemade Ice Cream divides its total moble sales Into three
segments. The Corporate Subscriptions segment, which accounts for of mobile sales and has a varlable expense
ratlo of refers to companles that purchase ice cream for thelr employees one day a month, every month of the year.
The Food Truck segment, which accounts for of mobile sales and has a varlable expense ratio of Includes
selling ice cream at festlvals, prlvate venues, and local microbrewerles. The Catered Events segment, which accounts for
of mobile sales and has a varlable expense ratio of Includes prepurchased ice cream deliverles for weddings,
birthday partles, graduation partles, etc. All of the mobile sales" fixed expenses are common fixed expenses that could
only be avolded by discontinuing all mobile sales.
Required:
Prepare a contribution format segmented Income statement that divides Annle's Homemade's mobile sales Into three segments:
Corporate Subscriptlons, Food Truck, and Catered Events.
If the Food Truck segment's unit sales grow by and all else holds constant, then what would be the impact on profits rounded
to the nearest dollar
If the total mobile sales hold constant, but sales of Corporate Subscriptions decrease by $ and sales at Catered Events
Increase by $ then what would be the impact on profits?
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Requirement
Requirement
Requirement
Prepare a contribution format segmented income statement that divides Annie's Homemade's mobile sales into three
segments: Corporate Subscriptions, Food Truck, and Catered Events.
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