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The following is a segmented income statement for Company M: Total Division A Division B Sales $5,000 $3,000 $2,000 - Variable Costs -1,100 -600 -500
The following is a segmented income statement for Company M:
Total | Division A | Division B | |
Sales | $5,000 | $3,000 | $2,000 |
- Variable Costs | -1,100 | -600 | -500 |
Contribution Margin | 3,900 | 2,400 | 1,500 |
- Traceable Fixed Costs | -500 | -300 | -200 |
Segment Margin | 3.400 | 2,100 | 1,300 |
-Common Fixed Costs | -900 | ||
Net Operating Income | $2,500 |
What is the break even point for Division A?
- A.
$266.67
- B.
$375
- C.
$937.50
- D.
$384.62
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