Peninsula Garden Centres Inc. produces tomato plants and vines in a greenhouse/nursery operation. The following information was provided for the coming year.

A sales commission of 4 percent of sales is paid for each of the two product lines. Direct fixed selling and administrative expense was estimated to be $135,000 for the tomato plants and $84,000 for the vines.Common fixed overhead for the nursery operation was estimated to be $1 ,350,000; common selling and administrative expense was estimated to be $410,000.

Required:Prepare a segmented income statement for Peninsula Garden Centres Inc. for the coming year, using variable costing.