Vulcan Company's contribution format income statement for June is as follows: Sales Valcan Company Income Statement For the Honth. Ended June 30 Variable expenses Contribution margin Fixed expense et operating income $ 900.000 408,000 492,000 455,000 $ 37,000 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 $400,000 in sales and $208,000 in variable expenses during June; the remaining sales and variable expenses were recorded in the Southern Territory Fixed expenses of $164,000 and $125,000 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 $150,000 and $250,000, respectively, in the Northern territory during June. Variable expenses are 22% of the selling price for Paks and 70% for Tibs. Cost records show that $67,500 of the Northern Territory's fixed expenses are traceable to Paks and $60,000 to Tibs, with the remainder common to the two products. Required: 1-a. Prepare contribution format segmented income statements for the total company broken down between sales territories 1-b. Prepare contribution format segmented income statements for the Northern Territory broken down by product line. Complete this question by entering your answers in the tabs below. Reg 1A Req 18 Prepare contribution format segmented income statements for the total company broken down between sales territories. (Round the percentage answers to one decimal place (Le.1234 should be entered as 12.3).) Sales Variable expenses Contribution margin Traceable txed expenses Teritorial segment margin Common fixed expenses Net operating income Bales Territory Total Company Amount Northem Southern Amount Amaunt $ 900.000 1000 $ 400.000 1000 $ 500,000 100.0 408,000 45.3 208,000 51.0 200,000 49.0 492,000 54.7 192,000 49.0 300,000 51.0 289.000 32.1 164,000 42.0 125,000 26.0 203,000 226 $ 28,000 7.0 $175,000 25.0 166.000 18.6 $ 37,000 4.0 RA Req 18 > Vulcan Company's contribution format income statement for June is as follows: Volcan Company Income Statement For the Month Ended June 30 Sales Variable expenses Contribution margin Fixed expense Net operating income $900,000 408,000 492,000 455,000 $ 37,000 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 $400,000 in sales and $208,000 in variable expenses during June; the remaining sales and variable expenses were recorded in the Southern Territory. Fixed expenses of $164,000 and $125,000 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 $150,000 and $250,000, respectively, in the Northem territory during June. Variable expenses are 22% of the selling price for Paks and 70% for Tibs. Cost records show that $67,500 of the Northern Territory's fixed expenses are traceable to Paks and $60,000 to Tibs, with the remainder common to the two products. Required: 1-a. Prepare contribution format segmented income statements for the total company broken down between sales territories. 1-b. Prepare contribution format segmented income statements for the Northern Territory broken down by product line. Complete this question by entering your answers in the tabs below. Req 1A 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 Amount % Paks Tibs Sales Variable expenses Contribution margin Traceable fixed expenses Product line segment margin $ 400,000 208,000 Amount 100.0 $ 150,000 52.0 33,000 Amount 100.0 $ 250,000 220 % 100.0 175,000 70.0 192,000 48.0 117,000 78.0 75,000 30.0 127,500 29.1 67,500 52.9 60,000 20.0 64,500 18.0 $ 49,500 25.1 $ 15,000 10.0 Common fixed expenses 36,500 12.9 Sales territory segment margin $ 28.000 6.0