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Second time posting this question because the original one was answered completely incorrectly and did not fill out the table. Please fill out table as
Second time posting this question because the original one was answered completely incorrectly and did not fill out the table. Please fill out table as it shows above. Thank you!
Millard Corporation is a wholesale distributor of office products. It purchases office products from manufacturers and distributes them in the West, Central, and East regions. Each of these regions is about the same size and each has its own manager and sales staff. The company has been experiencing losses for many months. In an effort to improve performance, management has requested that the monthly income statement be segmented by sales region. The company's first effort at preparing a segmented income statement for May is given below. West $ 311,000 Sales Region Central $ 802,000 East $ 705,000 Sales Regional expenses (traceable): Cost of goods sold Advertising Salaries Utilities Depreciation Shipping expense Total regional expenses Regional income (loss) before corporate expenses Corporate expenses: Advertising (general) General administrative expense Total corporate expenses Net operating income (loss) 97,000 106,000 56,000 9,000 21,000 13,000 302,000 9,000 235,000 240,000 55,000 16,400 34,000 28,000 608,400 193,600 317,000 237,000 111,000 13,800 30,000 42,000 750, 800 (45, 800) 15,000 22,000 37,000 $ (28,000) 39,000 22,000 61,000 (132,600) 34,000 22,000 56,000 $ (101,800) The cost of goods sold and shipping expense are both variable. All other costs are fixed. Required: 3. Prepare a new contribution format segmented income statement for May. (Round percentage answers to 1 decimal place.) Total Company West Central East Amount % Amount % Amount % Amount % Variable expenses: Total variable expenses Traceable fixed expenses: Total traceable fixed expenses Common fixed expenses: Total common fixed expense Net operating income (loss)Step by Step Solution
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