Question
The following information was the business unit profit and loss statement of Manulla Company for 2018: Manulla Teenage Division Youth Division Toddler Division Revenues 750
The following information was the business unit profit and loss statement of Manulla Company for 2018:
| Manulla | Teenage Division | Youth Division | Toddler Division | |||||||||
| Revenues | 750 000 | 200 000 | 225 000 | $ | 325 000 | |||||||
| Variable operating expenses | $ | 410 000 | $ | 110 000 | $ | 120000 | $ | 180 000 | ||||
| Controllable fixed expenses | $ | 210 000 | $ | 65 000 | $ | 75 000 | $ | 70 000 | ||||
| Fixed expenses controllable by others | $ | 60 000 | $ | 15 000 | $ | 25 000 | $ | 25 000 | ||||
In addition, the company incurred common fixed costs of $18 000, which are allocated equally among the divisions. Which amount should be used to evaluate the Teenage Division's manager?
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Using QuickBooks Online For Accounting
Authors: Glenn Owen
3rd Edition
0357391691, 9780357391693
