The operations of Bridgeton Corporation are divided into the
Adams Division and the Carter Division. Projections for the next
year are as follows:
Adams Division | Carter Division | Total | |||||||||
Sales | $ | 560,000 | $ | 336,000 | $ | 896,000 | |||||
Variable costs | 196,000 | 154,000 | 350,000 | ||||||||
Contribution margin | $ | 364,000 | $ | 182,000 | $ | 546,000 | |||||
Direct fixed costs | 168,000 | 140,000 | 308,000 | ||||||||
Segment margin | $ | 196,000 | $ | 42,000 | $ | 238,000 | |||||
Allocated common costs | 84,000 | 63,000 | 147,000 | ||||||||
Operating income (loss) | $ | 112,000 | $ | (21,000 | ) | $ | 91,000 | ||||
Operating income for Bridgeton Corporation as a whole if the Carter
Division were dropped would be:
Operating income for Bridgeton Corporation as a whole if the Carter Division were dropped
= $112,000 – $63,000
= $49,000
The operations of Bridgeton Corporation are divided into the Adams Division and the Carter Division. Projections...
The operations of Bridgeton Corporation are divided into the Adams Division and the Carter Division Projections for the next year are as follows: Sales Variable costs Contribution margin Direct fixed costs Segment margin Allocated common costs Operating income (loss) Adams Division $635,000 211,000 $424,000 183,000 $241,000 94.000 $147,000 Carter Division $361,000 169,000 $192,000 155,000 $ 37,000 78,000 $(41,000) Total $996,000 380,000 $616,000 338,000 $278,000 172,000 $106,000 lon - not a Operating income for Bridgeton Corporation as a whole if the...
The operations of Knickers Corporation are divided into the Pacers Division and the Bulls Division. Projections for the next year are as Pacersvision$672,000 pivision$252,000262.500 Variable expenses $409,500 Direct fxed expenses Segment margin Allocated common costs $273,000 12S000 $147,000 63,000 $31,500、929 110.250 Operating income for Knickers Corporation as a whole if the Bulls Division were dropped would be Oa. $99,75o. Ob. $36,75o Ос. $84,000. Previous Next
The operations of Winston Corporation are divided into the Blink Division and the Blur Division. Projections for the next year are as follows: Blink Division Blur Division Total Sales $ 310,000 $ 180,000 $ 490,000 Variable costs 104,000 83,000 187,000 Contribution margin $ 206,000 $ 97,000 $ 303,000 Direct fixed costs 90,000 76,000 166,000 Segment margin $ 116,000 $ 21,000 $ 137,000 Allocated common costs 45,000 37,500 82,500 Operating income (loss) $ 71,000 $ (16,500 ) $ 54,500 Operating income...
The operations of Smits Corporation are divided into the Child Division and the Jackson Division Projections for the next year are as follows: Sales revenue Variable expenses Contribution margin Direct foxed expenses Segment margin Allocated common costs Total relevant benefit (loss) Child Division $250,000 90.000 $160,000 75,000 $85,000 35.000 $50,000 Jackson Division $180,000 100,000 $80,000 62,500 $17,500 22.500 $(10,000) Total $430,000 190.000 $240,000 137.500 $102,500 62.500 $40.000 Operating income for Smits Corporation as a whole if the Jackson Division were...
TB MC Qu. 4-56 The operations of Ranger Corporation are divided... The operations of Ranger Corporation are divided into the Stargate Division and the Cosmos Division. Projections for the next year are as follows: Toto Sales Less: Variable Costs Contribution Margin Less: Direct Fixed Costs Segment Margin Less: Allocated Common Costs Operating Income (Loss) Stargate Division $505,000 181,000 $324,000 151,000 $ 173,000 80,000 $ 93,000 Cosmos Division $362,000 201,000 $ 161,000 126,000 $ 35,000 56,000 $ (21,000) Total $ 867,000...
Gage Corporation has two operating divisions in a semiautonomous organizational structure. Adams Division, located in the United States, produces a specialized electrical component that is an input to Bute Division, located in the south of England. Adams uses idle capacity to produce the component, which has a domestic market price of $13. Its variable costs are $4 per unit. Gage’s U.S. tax rate is 40 percent of income. In addition to the transfer price for each component received from Adams,...
Gage Corporation has two operating divisions in a semiautonomous organizational structure. Adams Division, located in the United States, produces a specialized electrical component that is an input to Bute Division, located in the south of England. Adams uses idle capacity to produce the component, which has a domestic market price of $11. Its variable costs are $4 per unit. Gage’s U.S. tax rate is 30 percent of income. In addition to the transfer price for each component received from Adams,...
Last year's financial statements for Weaver Textiles are below. Sales are expected to grow by 15 percent this year. Their tax rate and dividend payout ratio will be the same in the future. Costs, selling and administration expense, current assets, accounts payable, and accrued taxes increase proportionally with sales. Interest expense, notes payable, and long-term debt will be unchanged. Weaver is operating at 92 percent capacity Income Statement Last Year Sales Costs of goods sold Selling and admin. expense Earnings...
Last year's financial statements for Weaver Textiles are below. Sales are expected to grow by 15 percent this year. Their tax rate and dividend payout ratio will be the same in the future Costs, selling and administration expense, current assets, accounts payable, and accrued taxes increase proportionally with sales Interest expense, notes payable, and long-term debt will be unchanged. Weaver is operating at 90 percent capacity Income Statement Last Year Sales 700,000 385,000 182,000 133,000 84,000 49,000 12,250 36,750 Costs...
Zenefit Corporation sold laser pointers for $11 each in 2017. Its budgeted selling price was $12 per unit. Other information related to its performance is given below: Calculate Zenefit's flexible-budget and sales-volume variances for (a) revenues, (b) variable costs, (c) fixed costs, and (d) operating income. Begin with the flexible-budget variance column, then the sales-volume variance column. Label each variance as favorable (F) or unfavorable (U). (For variances with a $0 balance, make sure to enter "0" in the appropriate...