Selzons Corporation operates two divisions with the following operating results from last year: Sales Variable costs Contribution margin Avoidable fixed costs Allocated common fixed costs Operating income (loss) Northern Division $ 600,000 $ 310,000 290,000 110,000 Southern Division $ 300,000 200,000 100,000 70,000 Total $ 900.000 $ 510,000 $ 390,000 $ 180,000 80,000 45,000 $ 125,000 100,000 (15,000) $ 85,000 Management is considering whether the Southern Division should be dropped since it incurred an operating loss last year. Allocated common fixed costs would continue for Selzone Corporation whether the division is dropped or not. If the Southern Division had been dropped at the beginning of last year, what would the total operating income for Salzone Corporation have been for the year? Answer: Kitchen Appliances Company manufactures two products: toaster ovens and bread machines. The following data are available: I Sales price Variable costs Toaster Ovens $100 $60 Bread Machines $200 $180 The company can manufacture two toaster ovens per machine hour and three bread machines per machine hour. The company's production capacity is 2,200 machine hours per month What is the contribution margin per machine hour for toaster ovens? What is the contribution margin per machine hour for bread machines? To maximize profits, what product and how many units should the company produce in a month? (product) and they should produce _(#) units