ces Segment Sales Cost of goods sold Sales commissions Contribution margin FINCH COMPANY Income Statements for...
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ces Segment Sales Cost of goods sold Sales commissions Contribution margin FINCH COMPANY Income Statements for Year 2 A $ 171,000 (128,000) (18,000) 25,000 (41,000) (6,000) B $ 243,000 (84,000) (28,000) 131,000 (46,000) (14,000) $ (22,000) $ 71,000 C $ 259,000 (82,000) (32,000) 145,000 (36,000) General fixed operating expenses (allocation of president's salary) Advertising expense (specific to individual divisions) Net income (loss) Required a. Prepare a schedule of relevant sales and costs for Segment A. $ 109,000 b. Prepare comparative income statements for the company as a whole under two alternatives: (1) the retention of Segment A and (2) the elimination of Segment A. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a schedule of relevant sales and costs for Segment A. Relevant Revenue and Cost Items for Segment A Effect on income ces Segment Sales Cost of goods sold Sales commissions Contribution margin FINCH COMPANY Income Statements for Year 2 A $ 171,000 (128,000) (18,000) 25,000 (41,000) (6,000) B $ 243,000 (84,000) (28,000) 131,000 (46,000) (14,000) $ (22,000) $ 71,000 C $ 259,000 (82,000) (32,000) 145,000 (36,000) General fixed operating expenses (allocation of president's salary) Advertising expense (specific to individual divisions) Net income (loss) Required a. Prepare a schedule of relevant sales and costs for Segment A. $ 109,000 b. Prepare comparative income statements for the company as a whole under two alternatives: (1) the retention of Segment A and (2) the elimination of Segment A. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a schedule of relevant sales and costs for Segment A. Relevant Revenue and Cost Items for Segment A Effect on income
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