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Required information [The following information applies to the questions displayed below.] Suresh Company reports the following segment (department) income results for the year. Sales
Required information [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 $ 88,000 Department N $ 46,000 Department O $ 84,000 Department P $ 72,000 Department T $ 45,000 Total $335,000 Avoidable Unavoidable 19,300 59,400 47,800 24,000 Total expenses Income (loss) 78,700 71,800 18,800 6,100 24,900 23,500 59,100 82,600 54,900 23,100 78,000 164,300 171,700 336,000 $9,300 $ (25,800) $ 59,100 $ (10,600) $ (33,000) $ (1,000) b. Compute the total increase in income if the departments with sales less than avoidable costs, as identified in part a, are eliminated.
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