Data for January for Bondi Corporation and its two major business segments, Nort
ID: 2397430 • Letter: D
Question
Data for January for Bondi Corporation and its two major business segments, North and South, appear below Sales revenues, North Variable expenses, North Traceable fixed expenses, North Sales revenues, South Variable expenses, South Traceable fixed expenses, South $660,80e $383,000 $ 79,00e $510,80 $291,808 66,000 In addition, common fixed expenses totaled $179,000 and were allocated as follows: $93,000 to the North business segment and $86,000 to the South business segment. A properly constructed segmented income statement in a contribution format would show that the net operating income of the company as a whole is: Multiple ChoiceExplanation / Answer
(Amount in $)
Particulars
North Division
South Division
Sales revenue
660000
510000
Less:
Variable expenses
383000
291000
Total Contribution
277000
219000
Less:
Traceable fixed expenses
79000
66000
Common fixed expenses
93000
86000
Net operating income
105000
67000
Net operating income (company)
105000 + 67000 = 172000
(Amount in $)
Particulars
North Division
South Division
Sales revenue
660000
510000
Less:
Variable expenses
383000
291000
Total Contribution
277000
219000
Less:
Traceable fixed expenses
79000
66000
Common fixed expenses
93000
86000
Net operating income
105000
67000
Net operating income (company)
105000 + 67000 = 172000
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