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WE LANCHIT REFERENCES MALNS RIVEW WEW Question 6 PART B Rede Limited's profit statement for last month is given below Sales 900.000 Les vanable costs
WE LANCHIT REFERENCES MALNS RIVEW WEW Question 6 PART B Rede Limited's profit statement for last month is given below Sales 900.000 Les vanable costs 160000 S40.000 Les fixed expens 450,000 Net Profit 650 000 Management is wandering what can be done to improve profits and has asked your aduse The following additional information has been made available by the manaps accountant The company divided into two sales repas Cock in Munster. The Cork regia recorded 350,000 in sales and variable expenses being 87.500, with the remming sales and variable expenses recorded in the Munst tean. Fixed expenses of 200,000 and 165,000 retractade to the Cork and Mina spectively with the reminder common to the two territories The company sells two products in eachion - Product A and Product B. Sales of Product A and Product B for the Munsten totalled 200,000 and 350,000 respectively. The contribution margin is 60% for Product A Records show 90,000 of the Munster region's fixed expenses we traceable to Product A. 655.000 are costs common to the region and the remainder relate to Products . Required: Prepare segmented Profit and Loss accounts showing the total company profit broken down between sales regions furst, and then show the Monster region broken down by product line. In your answer, show both amount and percentage columns for the company total and for each segment (20 marks) LIMITED KINGDOM
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