Colasuonno Corporation has two divisions: the West Division and the East Division. The corporation's net operating income is $79,600. The West Division's divisional segment margin is $48,600 and the East Division's divisional segment margin is $171,900. What is the amount of the common fixed expense not traceable to the individual divisions?
|
$220,500 | |
→ | $140,900 |
$128,200 |
Total segment margin = $48,600 + $171,900 = $220,500
|
Total net operating income = Total segment margin - Common fixed expenses
|
$79,600 = $220,500 - Common fixed expenses
|
Common fixed expenses = $220,500 - $79,600 = $140,900 |
No comments:
Post a Comment