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The following information applies to the questions displayed below Suresh Co. expects its five departments to yield the following income for next year Dept. M

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The following information applies to the questions displayed below Suresh Co. expects its five departments to yield the following income for next year Dept. M $86,000 Dept. T $ 45,000 Dept. N Dept. 0 $80,000 $68,000 Dept. P Total $ 46,000 Sales $325,000 Expenses Avoidable Unavoidable Total expenses Net income (loss) 18,300 58,600 22,500 55,100 46,600 22,800 19,000 53,100 21,700 74,800 $159,500 $164,100 5,900 24,900 76,900 69,400 77,600 323,600 $9,100 $(23,400) $55, 100 $(9,600) $(29,800) $ (1,400) Recompute and prepare the departmental income statements (including a combined total column) for the company under each of the following separate scenarios Exercise 23-10 Part 2 (2) Management eliminates departments with sales dollars that are less than avoidable expenses DEPARTMENLS WITH LESS SALES THAN AVOIDABLE EXPENSES ELIMINATED Dept. M Dept. N Dept. O Dept. P Dept. T Total Sales Expenses Avoidable Unavoidable Total epenses Net income oss)

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