In line with the income statement, should the bar be eliminated? Assume that Leisure Group prepared its segmented income statement as shown.Income StatementLeisure GroupBarGroup$800,000RestaurantSales$100,000$700,000Variable Costs310,00060,000250,000см490,00040,000450,000Traceable FC246,00026,000220,000Segment Margin244,00014,000230,000Common Costs200,000Profit44,000

Income statement is the one that is prepared to compute the profits of the entity.

Assume that Leisure Group prepared its segmented income statement as shown. Income Statement Leisure Group Group $800,000 Bar Restaurant Sales $100,000 $700,000 Variable Costs 310,000 60,000 250,000 см 490,000 40,000 450,000 Traceable FC 246,000 26,000 220,000 Segment Margin 244,000 14,000 230,000 Common Costs 200,000 Profit 44,000

Assume that Leisure Group prepared its segmented income statement as shown. Income Statement Leisure Group Group $800,000 Bar Restaurant Sales $100,000 $700,000 Variable Costs 310,000 60,000 250,000 см 490,000 40,000 450,000 Traceable FC 246,000 26,000 220,000 Segment Margin 244,000 14,000 230,000 Common Costs 200,000 Profit 44,000

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter12: Differential Analysis And Product Pricing

Section: Chapter Questions

Problem 12.16E: Product cost concept of product pricing Based on the data presented in Exercise 12-15, assume that...

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Product cost concept of product pricing Based on the data presented in Exercise 12-15, assume that Willis Products Inc. uses the product cost concept of applying the cost-plus approach to product pricing. a.Determine the total manufacturing costs and the cost amount per unit for the production and sale of 200,000 units. b.Determine the product cost markup percentage per unit. Round to two decimal place. c.Determine the selling price per unit. Round to the nearest dollar.
Piedmont Company segments its business into two regions—North and South. The company prepared the contribution format segmented income statement as shown: Total Company North South Sales $ 600,000 $ 400,000 $ 200,000 Variable expenses 360,000 280,000 80,000 Contribution margin 240,000 120,000 120,000 Traceable fixed expenses 120,000 60,000 60,000 Segment margin 120,000 $ 60,000 $ 60,000 Common fixed expenses 50,000 Net operating income $ 70,000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in dollar sales for the North region. 3. Compute the break-even point in dollar sales for the South region.
Piedmont Company segments its business into two regions—North and South. The company prepared the contribution format segmented income statement as shown: Total Company North South Sales $ 750,000 $ 600,000 $ 150,000 Variable expenses 510,000 480,000 30,000 Contribution margin 240,000 120,000 120,000 Traceable fixed expenses 128,000 64,000 64,000 Segment margin 112,000 $ 56,000 $ 56,000 Common fixed expenses 54,000 Net operating income $ 58,000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in dollar sales for the North region. 3. Compute the break-even point in dollar sales for the South region. (For all requirements, round your intermediate calculations to 2 decimal places. Round your final answers to the nearest dollar.)
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Crossfire Company segments its business into two regions—East and West. The company prepared a contribution format segmented income statement as shown below: Total Company East West Sales $ 915,000 $ 610,000 $ 305,000 Variable expenses 732,000 518,500 213,500 Contribution margin 183,000 91,500 91,500 Traceable fixed expenses 111,000 51,000 60,000 Segment margin 72,000 $ 40,500 $ 31,500 Common fixed expenses 60,000 Net operating income $ 12,000 Required: 1. Prepare a new segmented income statement based on the break-even dollar sales that you computed in requirements 2 and 3. What is Crossfire’s net operating income (loss) in your new segmented income statement? 2. Do you think that Crossfire should allocate its common fixed expenses to the East and West regions when computing the break-even points for each region?
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The following data relate to Department no. 3 of Tsing Corporation: Segment contribution margin 540,000 Profit margin controllable by segment manager 310000 Segment profit margin 150000 On the basis of this information, Department no. 3's variable operating expenses are: Select one: a. $80,000. b. $160,000. c. $230,000. d. $390,000. e. not determinable.
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What is the joint cost allocated to product Tab if the company employs relative sales value method? P300,000P200,000P192,000P288,000