Pong Incorporated's segmented income statement for the most recent month is given below. Total Store A...
| Pong Incorporated's segmented income statement for the most recent month is given below. |
| Total | Store A | Store B | |
| Sales | $159,100 | $65,700 | $93,400 |
| Variable expenses | 59,279 | 32,193 | 27,086 |
| Contribution margin | 99,821 | 33,507 | 66,314 |
| Traceable fixed expenses | 69,100 | 20,800 | 48,300 |
| Segment margin | 30,721 | $12,707 | $18,014 |
| Common fixed expenses | 24,800 | ||
| Net operating income | $ 5,921 | ||
|
If Store B sales increase by $47,400 with no change in fixed expenses, the overall company net operating income should: |
Homework Answers
Store B Contribution margin ratio = 66314/93400 = 71%
Net operating income increase by = 47400*71% = 33654
If Store B sales increase by $47,400 with no change in fixed expenses, the overall company net operating income should: $33654
Add Answer to:
Pong Incorporated's segmented income statement for the most
recent month is given below.
Total
Store A...
. The most recent monthly income statement for Sun City Stores is given below: Total...
. The most recent monthly income statement for Sun City Stores is given below: Total Store A Store B Sales $1,000,000 $400,000 $600,000 Variable expenses 580,000 160,000 420,000 Contribution margin 420,000 240,000 180,000 Traceable fixed expenses 300,000 100,000 200,000 Store segment margin 120,000 140,000 (20,000) Common fixed expenses 50,000 20,000 30,000 Net operating income $70,000 $120,000 $($50,000) Due to its poor showing, consideration is being given to closing Store B. Studies show that if Store B is closed, one-fourth...
Assume a company with two divisions (A and B) prepared the following segmented income statement: Sales...
Assume a company with two divisions (A and B) prepared the following segmented income statement: Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income A $ ? 120,000 ? 100,000 $ ? B $ 200,000 140,000 ? 80,000 $ (20,000 What is Division A's segment margin? Multiple Choice O $53,000 $13,000 $72,700 100,000 $ ? 80,000 $ (20,000 $ Traceable fixed expenses Segment margin Common fixed expenses Net operating income What is Division...
Creaston Limited’s most recent monthly contribution format income statement is given below: CREASTON LIMITED Income Statement...
Creaston Limited’s most recent monthly contribution format
income statement is given below:
CREASTON LIMITED
Income Statement
For the Month Ended May 31
Sales
$900,000
100.0%
Variable expenses
408,000
45.3
Contribution margin
492,000
54.7
Fixed expenses
465,000
51.7
Operating income
$ 27,000
3.0%
Management is disappointed with the company’s performance and is
wondering what can be done to improve profits. By examining sales
and cost records, you have determined the following:
The company is divided into two sales territories—Central and
Eastern....
The most recent monthly income statement for Sun ShineCorporation is given below:TotalStore A...
The most recent monthly income statement for Sun Shine Corporation is given below:TotalStore AStore BSales$1,000,000$400,000$600,000Variable expenses580,000160,000420,000Contribution margin420,000240,000180,000Traceable fixed expenses300,000100,000200,000Store segment margin120,000140,000(20,000)Common fixed expenses50,00020,00030,000Net operating income$70,000$120,000$(50,000)Due to its poor showing, consideration is being given to closing Store B. Studies show that if Store B is closed, one fourth of its traceable fixed expenses will continue unchanged. The studies also show that closing Store B would result in a 10 percent decrease in sales in Store A. The company allocates common fixed...
Chao, Inc., a service provider, has two divisions. The firm’s most recent annual contribution format segmented...
Chao, Inc., a service provider, has two divisions. The firm’s
most recent annual contribution format segmented income statement
appears below.
If the company eliminates the Western Division and the Eastern
Division sales increase by 10% as a result, how much will the
company’s net operating income decrease?
Chao, Inc., a service provider, has two divisions. The firm's most recent annual contribution format segmented income statement appears below Total Eastern Company Division Division $450,000 $90,000 $360,000 27,000 63,000 46,800 106,200 $16,200...
urgentt help me Hwk - Segments Saved 2 Exercise 6-7 Segmented Income Statement [LO6-4) 1.16 points...
urgentt help me
Hwk - Segments Saved 2 Exercise 6-7 Segmented Income Statement [LO6-4) 1.16 points Shannon Company segments its income statement into its North and South Divisions. The company's overall sales, contribution margin ratio, and net operating income are $640,000, 60%, and $64,000, respectively. The North Division's contribution margin and contribution margin ratio are $195,000 and 75%, respectively. The South Division's segment margin is $54,000. The company has $76,800 of common fixed expenses that cannot be traced to either...
EXERCISE 6-7 Segmented Income Statement [LO6-4 Shannon Company segments its income statement into its North and...
EXERCISE 6-7 Segmented Income Statement [LO6-4 Shannon Company segments its income statement into its North and South Divisions. The pany's overall sales, contribution margin ratio, and net operating income are $500,000 46%, and S10,000, respectively. The North Division's contribution margin and contribution margin ratio $150,000 and 50%, respectively. The South Division's segment margin is $30,000. The company has $90,000 of common fixed expenses that cannot be traced to either division. Required: Prepare an income statement for Shannon Company that uses...
Shannon Company segments its income statement into its North and South Divisions. The company's overall sales,...
Shannon Company segments its income statement into its North and South Divisions. The company's overall sales, contribution margin ratio, and net operating income are $1,020,000, 38%, and $20,400, respectively. The North Division's contribution margin and contribution margin ratio are $142,800 and 42%, respectively. The South Division's segment margin is $163,200. The company has $244,800 of common fixed expenses that cannot be traced to either division. 3.07 points Required: Prepare an income statement for Shannon Company that uses the contribution format...
Niangua Co. is divided into three segments and is interested in preparing a segmented income statement...
Niangua Co. is divided into three segments and is interested in preparing a segmented income statement in order to better understand the operating performance of each segment. Fixed expenses in each division currently include an allocation of general corporate expenses equal to 20% of the division's sales. Division 1 Division 2 Division 3 Sales $ 320,000 $ 200,000 $ 280,000 Variable expenses 208,000 120,000 152,000 Contribution margin $ 112,000 $ 80,000 $ 128,000 Fixed expenses 80,000 88,000 72,000 Net income...
Vulcan Company's contribution format income statement for June is given below: Vulcan Company Income Statement For...
Vulcan Company's contribution format income statement for June is given below: Vulcan Company Income Statement For the Month Ended June 30 $800,000 308,000 492,000 465,000 $ 27,000 Sales Variable expenses Contribution margin Fixed expenses Net operating income Management is disappointed with the company's performance and is wondering what can be done to improve profits. By examining sales and cost records, you have determined the following: a. The company is divided into two sales territories-Northern and Southern. The Northern Territory recorded...
Assume a company with two divisions (A and B) prepared the following segmented income statement: Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income A $ ? 120,000 ? 100,000 $ ? B $ 200,000 140,000 ? 80,000 $ (20,000 What is Division A's segment margin? Multiple Choice O $53,000 $13,000 $72,700 100,000 $ ? 80,000 $ (20,000 $ Traceable fixed expenses Segment margin Common fixed expenses Net operating income What is Division...
Creaston Limited’s most recent monthly contribution format
income statement is given below:
CREASTON LIMITED
Income Statement
For the Month Ended May 31
Sales
$900,000
100.0%
Variable expenses
408,000
45.3
Contribution margin
492,000
54.7
Fixed expenses
465,000
51.7
Operating income
$ 27,000
3.0%
Management is disappointed with the company’s performance and is
wondering what can be done to improve profits. By examining sales
and cost records, you have determined the following:
The company is divided into two sales territories—Central and
Eastern....
Chao, Inc., a service provider, has two divisions. The firm’s
most recent annual contribution format segmented income statement
appears below.
If the company eliminates the Western Division and the Eastern
Division sales increase by 10% as a result, how much will the
company’s net operating income decrease?
Chao, Inc., a service provider, has two divisions. The firm's most recent annual contribution format segmented income statement appears below Total Eastern Company Division Division $450,000 $90,000 $360,000 27,000 63,000 46,800 106,200 $16,200...
urgentt help me
Hwk - Segments Saved 2 Exercise 6-7 Segmented Income Statement [LO6-4) 1.16 points Shannon Company segments its income statement into its North and South Divisions. The company's overall sales, contribution margin ratio, and net operating income are $640,000, 60%, and $64,000, respectively. The North Division's contribution margin and contribution margin ratio are $195,000 and 75%, respectively. The South Division's segment margin is $54,000. The company has $76,800 of common fixed expenses that cannot be traced to either...
EXERCISE 6-7 Segmented Income Statement [LO6-4 Shannon Company segments its income statement into its North and South Divisions. The pany's overall sales, contribution margin ratio, and net operating income are $500,000 46%, and S10,000, respectively. The North Division's contribution margin and contribution margin ratio $150,000 and 50%, respectively. The South Division's segment margin is $30,000. The company has $90,000 of common fixed expenses that cannot be traced to either division. Required: Prepare an income statement for Shannon Company that uses...
Shannon Company segments its income statement into its North and South Divisions. The company's overall sales, contribution margin ratio, and net operating income are $1,020,000, 38%, and $20,400, respectively. The North Division's contribution margin and contribution margin ratio are $142,800 and 42%, respectively. The South Division's segment margin is $163,200. The company has $244,800 of common fixed expenses that cannot be traced to either division. 3.07 points Required: Prepare an income statement for Shannon Company that uses the contribution format...
Vulcan Company's contribution format income statement for June is given below: Vulcan Company Income Statement For the Month Ended June 30 $800,000 308,000 492,000 465,000 $ 27,000 Sales Variable expenses Contribution margin Fixed expenses Net operating income Management is disappointed with the company's performance and is wondering what can be done to improve profits. By examining sales and cost records, you have determined the following: a. The company is divided into two sales territories-Northern and Southern. The Northern Territory recorded...
Most questions answered within 3 hours.
-
What are some of the methods that creditors use to
reduce risk in credit transactions?
asked 22 seconds from now -
1 Explain HOW you would use the scientific method to test
which helps kids lose weight:...
asked 6 minutes ago -
1. Find the following z values for the standard normal
variable Z. (You may find it...
asked 3 minutes ago -
how immigrants foster innovations and how it lead to economic
growth of the host country????
"Not...
asked 5 minutes ago -
The normal-curve approximation can also be used for discrete
distribution other than the binomial distribution. For...
asked 7 minutes ago -
Given the complexities involved with supply chains, might it
make sense for a business to vertically...
asked 7 minutes ago -
MARKET EFFICIENCY IN-CLASS WORKSHEET 2 This question examines
the market for peanut butter. You will use...
asked 20 minutes ago -
An ideal gas (which is is a hypothetical gas that conforms to
the laws governing gas...
asked 23 minutes ago -
. If economic profits exist in perfect competition, in the long
run firms will enter because...
asked 28 minutes ago -
calculate the oxidation state of carbons C18H36O2 and
C18H36018
and then calculated the number of electrons...
asked 42 minutes ago -
Please respond to each of the below questions in a minimum of 5
well written paragraphs...
asked 36 minutes ago -
On January 1, Year 1, Brown Co. issued bonds with a face value
of $115,000, a...
asked 41 minutes ago