Question

Gulf Coast Enterprises (GCE) operates 87 stores and has three divisions: Florida, Georgia, and Alabama. Which of the following costs would not appear on Georgias portion of GCEs segmented income statement? 01. Compensation paid to Georgias chief operating officer, as determined by GCEs management. 02. Costs related to statewide advertising contracts, negotiated by Georgias divisional manager. 03.Georgias allocated share of general GCE corporate overhead 04.。) Compensation paid to Georgias chief operating officer, as determined by GCEs management and Georgias allocated share of general GCE corporate overhead. Variable sales commissions paid to Georgias salespeople. 05.

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Answer #1

Option 03 is correct.

i.e. Georgia's allocated share of general GCE corporate overhead.

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