Uchimura Corporation has two divisions: the AFE Division and the GBI Division. The corporation's net operating...
Uchimura Corporation has two divisions: the AFE Division and the GBI Division. The corporation's net operating income is $12,200. The AFE Division's divisional segment margin is $83,600 and the GBI Division's divisional segment margin is $48,300. What is the amount of the common fixed expense not traceable to the individual divisions?
Multiple Choice
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$95,800
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$119,700
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$60,500
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$131,900
Homework Answers
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Common fixed expense not traceable to individual divisions = Total segment margin - Net operating income = (83,600+48,300) - 12,200 = 131,900 - 12,200 = 119,700 Option B is the answer |
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