Question: Based on the segment margin report below which region (central, east coast, international, midwest, northeast, northwest and south) should be dropped or restructured and why?
Based on the segment margin report below which region (central, east coast, international, midwest, northeast, northwest and south) should be dropped or restructured and why?
Question 6: Segment Margin Report For Year ended 2018 Central East coast International Midwest Northeast Northwest South West Total of all regions Sales revenue $ 19,728,462.06 $ 25,720,079.45 $3,515,310.29 $32,648,044.24 $ 13,182,382.46 $ 17,394,702.40 $ 15,855,637.70 $ 26,940,359.91 $154,984,978.51 Less variable expenses $ 12,526,495.00 $ 15,615,559.28 $2,139,542.75 $19,821,849.53 $ 8,020,092.37 $ 10,510,174.34 $ 9,661,516.71 $ 16,323,563.60 $ 94,618,793.58 Contribution margin $ 7,201,967.06 $ 10,104,520.17 $1,375,767.54 $12,826,194.71 $ 5,162,290.09 $ 6,884,528.06 $ 6,194,120.99 $ 10,616,796.31 $ 60,366,184.93 Less traceable fixed expenses $ 5,278,312.00 $ 7,513,545.00 $ 690,587.00 $9,874,330.00 $ 3,965,187.00 $ 4,968,774.00 $ 6,849,541.00 $ 9,065,478.00 $ 48,205,754.00 Segment margin $ 1,923,655.06 $ 2,590,975.17 $ 685,180.54 $ 2,951,864.71 $ 1,197,103.09 $ 1,915,754.06 -$ 655,420.01 $ 1,551,318.31 $ 12,160,430.93 Less common fixed costs allocated to regions $ 1,219,464 $ 1,589,821 S 217,290$ 2.018,055$ 814,835 $ 1,075,209 $ 980,076 $ 1,665,250 $9,580,000.00 Operating income (loss) $ 704,191.06 $ 1,001,154.17 $ 467,890.54 $ 933,809.71 $ 382,268.09 $ 840,545.06 $ 1,635,496.01 $ 113,931.69 $ 2,580,430.93
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