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XYZ Company has two divisions, C and D, which reported the following information for March: REQUIRED: (1) Assume XYZ Company as a whole reported a
XYZ Company has two divisions, C and D, which reported the following information for March: REQUIRED: (1) Assume XYZ Company as a whole reported a net income of $44,000 in March. Calculate the total fixed costs incurred by XYZ Company in the month of March. (2) Assume the sales in Division C increased by 25% as a result of a new advertising program which cost $10,000. Calculate the net income reported by XYZ Company as a result of these changes. (3) Assume that in April Division C reported sales of \$550,000; Division D broke-even; XYZ Company reported common fixed costs of $92,500 and total fixed costs of $222,500; and XYZ's net income for April was equal to 5% of the total company sales for the month. Calculate the traceable fixed costs reported by Division C for April
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