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Danny's Dart Company produce and sells darts to customers. Danny's Dart Company has two divisions: the...

Danny's Dart Company produce and sells darts to customers. Danny's Dart Company has two divisions: the Casino Products Division and the International Products Division. The Casino Products Division's divisional segment margin is $38,300 and the International Products Division's divisional segment margin is $90,700. The total amount of common fixed expenses not traceable to the individual divisions is $102,000. What is Danny's Dart Company net operating income (loss)?

Garrison 16e Rechecks 2018-06-22

Multiple Choice

  • ($129,000)

  • $129,000

  • $27,000

  • $231,000

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Answer #1
Total divisional segment margin 129000 =38300+90700
Less: Common fixed expenses not traceable 102000
Net operating income (loss) 27000
Option C $27,000 is correct
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