Vulcan Company Income Statement For the Month Ended June 30 Sales Variable expenses Contribution margin Fixed expenses $750,000 336,000 414,000 Net operating income 378,000 $ 36,000 Management is disappointed with the company's performance and is wondering what can be done to improve profits. By examining sales and cost records, you have determined the following: a The company is divided into two sales territories-Northern and Southern. The Northern territory recorded $300,000 in sales and $156,000 in variable expenses during June; the remaining sales and variable expenses were recorded in the Souther territory Fixed expenses of $120,000 and $108,000 are traceable to the Northern and Southern territories, respectively. The rest of the fixed expenses are common to the two territories. b. The company is the exclusive distributor for two products-Paks and Tibs. Sales of Paks and Tibs totaled $50,000 and $250,000, respectively, in the Northern territory during June. Variable expenses are 22% of the selling price for Paks and 58% for Tibs. Cost records show that $30,000 of the Northern territory's fixed expenses are traceable to Paks and $40,000 to Tibs, with the remainder common to the two products Required: 1. Prepare contribution format segmented income statements for the toter company broken down between sales territories 10. Prepare contribution format segmented income statements for the Northem Terntory broken down by product line. Req LA Req 18 Prepare contribution format segmented income statements for the total company broken down between sales territories. (Round the percenta answers to one decimal place (l.e.1234 should be entered as 12.3).) Sales Territory Total Company Northern Amount Amount Sales 750,000 1000 400,000 Southern Amount 400,000 Variable expenses 336,000 44.8 Contribution margin 414,000 55.2 400,000 0.0 400,000 0.0 Traceable fixed expenses 248.000 33.10 Tentonal segment margin 166,000 22.1 S 400,000 0.0 400,000 0.0 Common fixed expenses 130,000 17.3 Net operating income 36,000 4.8 Req 18 > Req LA Req 18 Prepare contribution format segmented Income statements for the Northern Territory broken down by product line. (Round the percentage answers to one decimal place (e 1234 should be entered as 12.3).) Product Line Northern Territory Paks Tibs Amount 96 Amount 96 Amount % 0.0 O 0.0 O 0.0 0 0.0 15 0 00 $ 0 0.0 00