Required information The Foundational 15 (Algo) [LO7-1, LO7-2, L07.3, LO7.4, LO7-5] [The following information applies to the questions cisployed below] Diego Company manufactures one product that is sold for $75 per unit in two geogrophic regions - the East and West regions. The following information pertains to the compary's first year of operations in which it produced 57,000 units and sold 52,000 units. The company sold 36,000 units in the East region and 16,000 units in the West region. It determined that $310,000 of its fixed selling and administrative expense is traceable to the West region, $260,000 is traceable to the East reglon, and the remaining $75,000 is a common fixed expense. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Foundational 7-7 (Algo) 7. What is the amount of the difference between the variable costing and absorption costing net operating incomes (losses)? Required information The Foundational 15 (Algo) [LO7-1, L07-2, L07-3, LO7-4, LO7.5] [The following information applies to the questions displayed below] Diego Company manufactures one product that is sold for $75 per unit in two geographic fegions - the East and West regions. The following informetion pertains to the company's first year of operations in which it produced 57,000 units and sold 52,000 units. The company sold 36,000 units in the East region and 16,000 units in the West region. If determined that $310,000 of its foxed selting and administrative expense is traceable to the West region, $260.000 is traceable to the East region, and the remaining $75,000 is a common foued expense. The company will cominue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce ary amount of its only product: Foundational 7-11 (Algo) 11. What would hove been the company's abcorption costing net operating income (loss) if it hod produced and sold 52,000 units? You: do not need to perform any calculations to answer this question. Required information The Foundational 15 (Algo) [LO7-1, LO7-2, LO7-3, LO7-4, LO7-5] The following information applies to the questions displayod below) Diego Company manufactures one product that is sold for $75 per unit in two geographic regions - the East and West regions. The following information pertains to the company's first year of operations in which it produced 57,000 units and sold 52,000 units The company sold 36,000 units in the East region and 16,000 unats in the West region. It determined that $310,000 of its fixed seling and administrative expense is traceable to the West region, $260,000 is traceable to the East region, and the remaining $75,000 is a common foxed expense. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Foundational 7.5 (Algo) 5. What is the company's total gross margin under absorption costing? [The following information applies to the questions displayed below] Diego Company manufactures one product that is sold for $75 per unit in twa geographic regions - the East and West regions. The following information pertains to the company's first year of operations in which it produced 57,000 units and sold 52,000 units. The company sold 36,000 units in the East region and 16,000 units in the West region. it determined that $310,000 of its fixed selling and administrative expense is traceable to the Wost region, $260,000 is traceable to the East region, and the remaining $75,000 is a common fixed expense. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Foundational 7-14 (Algo) 14. Diego is considering eliminating the West region because an internally generated report suggests the region's total gross margin in the first year of operations was $22,000 less than its traceable fixed selling and administrative expenses, Diego belleves that if it drops the Wost region, the East tegion's sales will grow by 5% in Yoat 2. Using the contribution approach for analyzing segment profitability and assuming all else remains constant in Year 2 , What would be the profit impact of dropping the West reglon in Year 2 ? Required information The Foundational 15 (Algo) [LO7-1, LO7-2, LO7-3, LO7-4, LO7-5] [The following information applies to the questions displayed below] Diego Company manufactures one product that is sold for $75 per unit in two geographic regions - the East ond West regions. The following information pertains to the company's first year of operations in which it produced 57,000 units and sold 52,000 units. The company sold 36,000 units in the East region and 16,000 units in the West region. It determined that $310,000 of its fixed selling and administrative expense is traceable to the West region, $260,000 is traceable to the East region, and the remaining $75,000 is a common fixed expense. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Foundational 7-3 (Algo) 3. What is the company's total contribution margin under variable costing? Diego Company manufoctures one product that is sold for $75 per unit in two geographic regions-the East and West regions. The following information pertains to the company's first year of operations in which it produced 57,000 units and sold 52,000 units. The company sold 36,000 units in the East fegion and 16,000 units in the West region. It determined that $310,000 of its fixed seiling and administrative expense is traceeble to the West region, $260,000 is traceable to the East region, and the remaining $75,000 is a common fixed expense. The company will continue to incur the total amount of its foxed manufacturing overhead costs as long as it continues to produce any amount of its only product. Foundational 7-8 (Algo) a. What is the company's break-even point in unit sales? b. Is it above or below the actual unit sales? Below Ahnue Mequirea intormation The Foundational 15 (Algo) [LO7-1, L07-2, LO7-3, LO7-4, LO7-5] [The following information applies to the questions displayed below.] Diego Company manutactures one product that is sold for $75 per unit in two geographic regions - the East and West regions. The following information pertains to the company's first year of operations in which it produced 57,000 units and sold 52,000 units. The company sold 36,000 units in the East region and 16,000 units in the West region. It determined that $310,000 of its fixed seling and administrative expense is traceabie to the West region, $260,000 is traceable to the East region, and the remaining $75,000 is a common foed expense. The company will continue to incur the total amount of its fuced manufacturing overhead costs as long as it continues to produce any amount of its only product. Foundational 7.9 (Algo) 9. If the sales volumes in the East and West regions had been reversed, what would be the company's overall break-even point in unit sales? Required information The Foundational 15 (Algo) [LO7-1, LO7-2, L07-3, LO7-4, LO7-5] (The following information applies to the questions displayed bolow] Diego Company manufactures one product that is sold for $75 per unit in two geographic reglons - the East and West regions. The following information pertains to the company's first year of operations in which it produced 57,000 units and sold 52,000 units. The company sold 36,000 units in the East region and 16,000 units in the West region. It determined that $310,000 of its flocd selling and administrative expense is traceable to the West region, $260,000 is traceable to the East region, arid the remaining $75,000 is a common fixed expense. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Foundational 7.4 (Algo) 4. What is the compary's net operating income (loss) under variable costing? Required information The Foundational 15 (Algo) [LO7-1, L07-2, L07-3, L07-4, LO7-5] [The following information applies to the questians displayed below] Diego Company manufactures one product that is sold for $75 per unit in two geographic regions-the East and West regions. The following information pertains to the company's first yeat of operations in which it produced 57,000 units and sold 52,000 units. The company sold 36,000 units in the East region and 16,000 units in the West region. It determined that $310,000 of its fixed selling and administrative expense is traceable to the West region, $260,000 is traceable to the East region, and the remaining $75,000 is a common fixed expense. The compony will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Foundational 7-12 (Algo) 12. If the company produces 5,000 fewer units than it sells in its second yoar of operations. Will absorption costing net operating income be higher or lower than variable costing net operating income in Year 2 ? Higher Lower: Diego Company manufactures one product that is sold for $75 per unit in two geographic regions - the East and West regions. The following information pertains to the company's first year of operations in which if produced 57,000 units and sold 52.000 units. The company sold 36,000 units in the East region and 16,000 units in the West region. it determined that 5310,000 of its fixed seling and administrative expense is traceable to the West region, $260.000 is traceable to the East region; and the remaining $75.000 is a common fixed expense. The company will continve to incur the total amount of its fixed manufacturing overthead costs as long as it continues to produce any amount of its only product. Foundational 7-13 (Algo) 13. Prepare a contribstion format segmented income statement that includes a Total column and columns for the East and West regions The Foundational 15 (Algo) [LO7-1, L07-2, LO7-3, LO7-4, LO7-5] [The following information applies to the questions disployed below] Diego Company manufactures one product that is sold for $75 per unit in two geographic reglons the East and West regions. The following information pertains to the company's first year of operations in which it produced 57,000 units and sold 52,000 units. The company sold 36,000 units in the East region and 16,000 units in the West region. It determined that $310,000 of its fixed soling and administrative expense is traceable to the West region, $260,000 is traceoble to the East region, and the remaining $75,000 is a common fixed expense. The company will continve to incur the total amount of its foed manufacturing overhead costs as long as it continues to produce any amount of its only product. Foundational 7.10 (Algo) 10. What would have been the company's variabie costing net operating income (loss) if it had produced and sold 52,000 units? You do not need to perform any calcilations to answer this question. Required information The Foundational 15 (Algo) [LO7-1, LO7-2, LO7-3, LO7-4, LO7-5] [The following information applies fo the questions displayed below] Diego Company manufactures one product that is sold for $75 per unit in two geographic regions - the East and West regions. The following information pertains to the company's first year of operations in which it produced 57,000 units and sold 52.000 units. The company sold 36,000 units in the East region and 16,000 units in the West region. it determined that $310,000 of its fixed seling and administrative exponse is traceable to the Westregion, $260,000 is traceable to the East region, and the remaining $75,000 is a common foxed expense. The company will continue to incur the totat amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Foundational 7-15 (Algo) 15. Assume the Wost region invests $47,000 in a new advertising campaign in Year 2 that increases its unit 5ales by 20%, If all else remains constant. what would be the profit impoct of pursuing the advortising campaign? Required information The Foundational 15 (Algo) [LO7-1, LO7-2, LO7-3, LO7.4, LO7-5] The following information applies to the questions displayed below] Diego Company manufactures one product that is sold for $75 per unit in two geographic regions - the East and West. regions. The following information pertains to the company's first year of operations in which it produced 57.000 units and sold 52,000 units. The company soid 36,000 units in the East region and 16,000 units in the West region. It determined that $310,000 of its fixed selting and administrative expense is traceable to the West region, $260,000 is traceable to the East region, and the remaining $75,000 is a common fixed expense. The company will continue to incur the total amount of its foxed manufocturing overhead costs as long as it continues to produce any amount of its only product. Foundational 7.6 (Algo) 6. What is the company's net operating income (loss) under absorption costing