Bundle: Managerial Accounting, Loose-leaf Version, 14th - Book Only
14th Edition
ISBN: 9781337541398
Author: Carl Warren; James M. Reeve; Jonathan Duchac
Publisher: Cengage Learning
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Chapter 9, Problem 2E
To determine
Income statement: The financial statement which reports revenues and expenses from business operations and the result of those operations as net income or net loss for a particular time period is referred to as income statement.
To prepare: The income statements for C Division and R Division
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Divisional Income Statements
The following data were summarized from the accounting records for South Seas Coast Construction Company for the year ended June 30, 20Y8:
Cost of goods sold:
Service department charges:
Commercial Division
$551,130
Commercial Division
$75,150
Residential Division
280,570
Residential Division
48,600
Administrative expenses:
Sales:
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$835,040
Residential Division
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Residential Division
501,020
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For the Year Ended June 30, 20Y8
CommercialDivision
ResidentialDivision
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The following data were summarized from the accounting records for Ruiz Industries Inc. for the year ended November 30, 20Y8:
Cost of goods sold:
Support department allocations:
Commercial Division
$3,400,000
Commercial Division
$800,000
Residential Division
1,800,000
Residential Division
200,000
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$6,120,000
Residential Division
375,000
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2,850,000
Prepare divisional income statements for Ruiz Industries Inc.
Ruiz Industries Inc.Divisional Income StatementsFor the Year Ended November 30, 20Y8
Commercial Division
Residential Division
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The following data were summarized from the accounting records for Jersey Coast Construction Company for the year ended June 30, 20Y8:
Cost of goods sold:
Service department charges:
Commercial Division
$422,110
Commercial Division
$57,560
Residential Division
218,470
Residential Division
37,840
Administrative expenses:
Net sales:
Commercial Division
$76,750
Commercial Division
$639,560
Residential Division
78,030
Residential Division
390,130
Prepare divisional income statements for Jersey Coast Construction Company.
Jersey Coast Construction CompanyDivisional Income StatementsFor the Year Ended June 30, 20Y8
Commercial Division
Residential Division
$Net sales
$Net sales
Cost of goods sold
Cost of goods sold
$Gross profit
$Gross profit
Administrative expenses
Administrative expenses
$Income from operations before service department charges
$Income from operations before service department charges…
Chapter 9 Solutions
Bundle: Managerial Accounting, Loose-leaf Version, 14th - Book Only
Ch. 9 - Differentiate between centralized and...Ch. 9 - Differentiate between a profit center and an...Ch. 9 - Prob. 3DQCh. 9 - What is the major shortcoming of using operating...Ch. 9 - In a decentralized company in which the divisions...Ch. 9 - How does using the return on investment facilitate...Ch. 9 - Prob. 7DQCh. 9 - Prob. 8DQCh. 9 - Prob. 9DQCh. 9 - When using the negotiated price approach to...
Ch. 9 - Budgetary performance for cost center Vinton...Ch. 9 - Support department allocations The centralized...Ch. 9 - Prob. 3BECh. 9 - Profit margin, investment turnover, and ROI Briggs...Ch. 9 - Residual income The Commercial Division of Galena...Ch. 9 - Prob. 6BECh. 9 - Prob. 1ECh. 9 - Prob. 2ECh. 9 - For each of the following support departments,...Ch. 9 - Prob. 4ECh. 9 - Service department charges In divisional income...Ch. 9 - Service department charges and activity bases...Ch. 9 - Prob. 7ECh. 9 - Prob. 8ECh. 9 - Prob. 9ECh. 9 - Prob. 10ECh. 9 - Prob. 11ECh. 9 - Prob. 12ECh. 9 - Prob. 13ECh. 9 - Prob. 14ECh. 9 - Prob. 15ECh. 9 - Prob. 16ECh. 9 - Prob. 17ECh. 9 - Prob. 18ECh. 9 - Prob. 19ECh. 9 - Prob. 20ECh. 9 - Prob. 1PACh. 9 - Profit center responsibility reporting for a...Ch. 9 - Prob. 3PACh. 9 - Effect of proposals on divisional performance A...Ch. 9 - Divisional performance analysis and evaluation The...Ch. 9 - Prob. 6PACh. 9 - Prob. 1PBCh. 9 - Prob. 2PBCh. 9 - Prob. 3PBCh. 9 - Prob. 4PBCh. 9 - Prob. 5PBCh. 9 - Prob. 6PBCh. 9 - Prob. 1ADMCh. 9 - Prob. 2ADMCh. 9 - Prob. 3ADMCh. 9 - Prob. 1TIFCh. 9 - Prob. 2TIFCh. 9 - Communication The Norse Division of Gridiron...
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