Question

Carlton Company has divided its business into segments bอsed on sales territories East Coast Midland and West Coast Following are financial data for 2018 EEB (Click the icon to view the financial data.) Prepare an income statement tor Cariton Company for 2018 using the contribution margin format assuming total fixed costs for the company were $465,000. Include columns for each business segment and a column for the total company Begin by preparing the contribution margin income statement tor each segment, then tor the total of the company Carlton Company Contribution Margin Income Statement For the Year Ended December 31, 2018 Data Table East Coast Midland West Coast Total East Coast Midland West Coast Units Sold Net Sales Revenue Variable Costs units units units Units sold 72 62 13,400 $ 6,700 54 11,900 6,783 Sales price per unit 11,100 S Condbution MarginVariable cost per unit 6.993 Fixed Costs PrintDone Operating Income

0 0
Add a comment Improve this question Transcribed image text
Answer #1
East coast Midland West coast Total
Units sold 72 units 62 units 54 units
Net sales revenue 799200 830800 642600 2272600
Variable costs 503496 415400 366282 1285178
Contribution margin 295704 415400 276318 987422
Fixed costs 465000
Operating income 522422
Workings:
Net sales revenue:
East coast = 72*11100 = $799200
Midland = 62*13400 = $830800
West coast = 54*11900 = $642600
Variable costs:
East coast = 72*6993 = $503496
Midland = 62*6700 = $415400
West coast = 54*6783 = $366282
Add a comment
Know the answer?
Add Answer to:
Carlton Company has divided its business into segments bอsed on sales territories East Coast Midland and...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Which business segment provided the greatest total contribution margin? The business segment provided the greatest total...

    Which business segment provided the greatest total contribution margin? The business segment provided the greatest total contribution margin. Select the formula, then, calculate the contribution margin ratio for each business segment. Calvin Company Contribution Margin Income Statement For the Year Ended December 31, 2018 East Coast Midland West Coast 78 units 60 units 54 units $ 826,800 $ 780,000 $ 626,400 $ 537,420 382,200 338,256 Total J = Contribution margin ratio Unit Sold Net Sales Revenue East Coast 2,233,200 1,257,876...

  • Crossfire Company segments its business into two regions-East and West. The company prepared a contribution format...

    Crossfire Company segments its business into two regions-East and West. The company prepared a contribution format segmented income statement as shown below: Total Company East West Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income $1,040,000 676,000 364,000 148,000 216,000 76,000 $ 140,000 $ 650,000 442,000 208,000 64,000 $ 144,000 $ 390,000 234,000 156,000 84,000 $ 72,000 Required 1. Compute the companywide break-even point in dollar sales 2. ℃ompute tne break-even point in...

  • Crossfire Company segments its business into two regions East and West. The company prepared the contribution...

    Crossfire Company segments its business into two regions East and West. The company prepared the contribution format segmented income statement shown below: Sales Variable expenses Total Company $ 1,080,000 810,000 East $780,000 624,000 West $300,000 186,000 Contribution margin Traceable fixed expenses 270,000 161,000 156,000 66,000 114,000 95,000 Segment margin 109,000 $90,000 $ 19,000 Common fixed expenses 78,000 Net operating income $ 31,000 Required: 1. Compute the companywide break-even point in dollar sales. (Round intermediate calculations to two decimal places.) Answer...

  • Crossfire Company segments its business into two regions-East and West. The company prepared a contribution format...

    Crossfire Company segments its business into two regions-East and West. The company prepared a contribution format segmented income statement as shown below: $ Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Total Company $ 910,000 637,000 273,000 133,000 140,000 56,000 $ 84,000 East $ 650,000 468,000 182,000 70,000 $ 112,000 West 260,000 169,000 91,000 63,000 28,000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in...

  • Stationfire Company segments its business into two regions—East and West. The company prepared a contribution format...

    Stationfire Company segments its business into two regions—East and West. The company prepared a contribution format segmented income statement as shown below: Total Company East West Sales $ 1,125,000 $ 750,000 $ 375,000 Variable expenses 843,750 600,000 243,750 Contribution margin 281,250 150,000 131,250 Traceable fixed expenses 160,000 62,000 98,000 Segment margin 121,250 $ 88,000 $ 33,250 Common fixed expenses 50,000 Net operating income $ 71,250 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point...

  • Tubaugh Corporation has two major business segments--East and West. In December, the East business segment had...

    Tubaugh Corporation has two major business segments--East and West. In December, the East business segment had sales revenues of $260,000, variable expenses of $145,000, and traceable fixed expenses of $33,000. During the same month, the West business segment had sales revenues of $930,000, variable expenses of $488,000, and traceable fixed expenses of $177,000. The common fixed expenses totaled $262,000 and were allocated as follows: $131,000 to the East business segment and $131,000 to the West business segment. A properly constructed...

  • Tubaugh Corporation has two major business segments--East and West. In December, the East business segment had sales re...

    Tubaugh Corporation has two major business segments--East and West. In December, the East business segment had sales revenues of $380,000, variable expenses of $205,000, and traceable fixed expenses of $45,000. During the same month, the West business segment had sales revenues of $1,050,000, variable expenses of $536,000, and traceable fixed expenses of $201,000. The common fixed expenses totaled $310,000 and were allocated as follows: $155,000 to the East business segment and $155,000 to the West business segment. A properly constructed...

  • Crossfire Company segments its business into two regions�East and West. The company prepared the contribution format...

    Crossfire Company segments its business into two regions�East and West. The company prepared the contribution format segmented income statement shown below: Total Company East West Sales $ 900,000 $ 600,000 $ 300,000 Variable expenses 675,000 480,000 195,000 Contribution margin 225,000 120,000 105,000 Traceable fixed expenses 141,000 50,000 91,000 Segment margin 84,000 $ 70,000 $ 14,000 Common fixed expenses 59,000 Net operating income $ 25,000 Required: 1. Compute the companywide break-even point in dollar sales. (Round intermediate calculations to 2 decimal...

  • Crossfire Company segments its business into two regions—East and West. The company prepared the contribution format...

    Crossfire Company segments its business into two regions—East and West. The company prepared the contribution format segmented income statement shown below: Total Company East West Sales $ 900,000 $ 600,000 $ 300,000 Variable expenses 675,000 480,000 195,000 Contribution margin 225,000 120,000 105,000 Traceable fixed expenses 141,000 50,000 91,000 Segment margin 84,000 $ 70,000 $ 14,000 Common fixed expenses 59,000 Net operating income $ 25,000 Required: 1. Compute the companywide break-even point in dollar sales. (Round intermediate calculations to 2 decimal...

  • Crossfire Company segments its business into two regions-East and West. The company prepared a contribution format...

    Crossfire Company segments its business into two regions-East and West. The company prepared a contribution format segmented income statement as shown below. Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Total Company $ 900,000 675,000 225,000 141,000 84,000 59.000 $ 25,000 East $ 600,000 480,000 120.000 50,000 $ 70,000 West $300,000 195,000 105,000 91,000 14,000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in dollar...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT