company with two divisions (X and Y) prepared the following segmented income statement: Y Total 2$ ? $200,000 $ ? le expenses bution margin 120,000 140,000 260,000 ? ? ? ble fixed expenses t margin - fixed expenses erating income 100,000 ৪0, 000 180,000 $ $(20,000) ? 41,200 $ 10,000

Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter14: Decentralized Operations
Section: Chapter Questions
Problem 3SEQ: Division A of Kern Co. has sales of $350,000, cost of goods sold of $200,000, operating expenses of...
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Assume a company with two divisions (X and Y) prepared the following segmented income statement:
Y
Total
Sales
$
?
$200,000
$
?
Variable expenses
Contribution margin
Traceable fixed expenses
120,000
140,000
260,000
?
100,000
৪0, 000
180,000
Segment margin
$
$(20,000)
?
Common fixed expenses
41,200
Net operating income
$ 10,000
What is Division X's segment margin?
Multiple Choice
$20,000
$40,000
$71,200
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Transcribed Image Text:Saved Assume a company with two divisions (X and Y) prepared the following segmented income statement: Y Total Sales $ ? $200,000 $ ? Variable expenses Contribution margin Traceable fixed expenses 120,000 140,000 260,000 ? 100,000 ৪0, 000 180,000 Segment margin $ $(20,000) ? Common fixed expenses 41,200 Net operating income $ 10,000 What is Division X's segment margin? Multiple Choice $20,000 $40,000 $71,200 < Prev 21 of 27 Next > %24
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