Question: does the allocation of common fixed costs to each store appear to be equitable with the sales revenue generated by each store? stone remains open

does the allocation of common fixed costs to each store appear to be equitable with the sales revenue generated by each store? does the allocation of common fixed costs to each store appear to

stone remains open Module # 4 situation 3 1 If Stone I closed Store, Stone 2 Total Entity as whole Sales 0 224,400 824,408 variable cost 493,200 413,200 Contribution margin 460,000 331,200 Traceable Fixed cost 183,300 209,000 452, 300 common fixed cost 0 85,000 850 DO Net Operating Income 183,300 106,000 - 206,100 2. Analysis of Both Operating Income as a whole Both Store Open sales 2,121,000 824, 40 variable cost 1,278,000 493,200 contribution margin 843,000 331,200 Traceable Fixed lost. 739,000 452,300 Common Fixed cost 201.000 850,000 Net Operating Income -97,000 - 206, 100 When both stones Stay open stoel Store 2 | Entity as whore sales 976,000 1,145,000/ 2, 129,000 variable cost 513,000 185,000 125,000 contribution Margin 383.000 460,000 843,000 Traceable Fixed cost 470,000 269,000 739000 Common Fixed cost 116,000 85.000 201,000 Net Operating Income -203,000 106,000 -97,000 stone remains open Module # 4 situation 3 1 If Stone I closed Store, Stone 2 Total Entity as whole Sales 0 224,400 824,408 variable cost 493,200 413,200 Contribution margin 460,000 331,200 Traceable Fixed cost 183,300 209,000 452, 300 common fixed cost 0 85,000 850 DO Net Operating Income 183,300 106,000 - 206,100 2. Analysis of Both Operating Income as a whole Both Store Open sales 2,121,000 824, 40 variable cost 1,278,000 493,200 contribution margin 843,000 331,200 Traceable Fixed lost. 739,000 452,300 Common Fixed cost 201.000 850,000 Net Operating Income -97,000 - 206, 100 When both stones Stay open stoel Store 2 | Entity as whore sales 976,000 1,145,000/ 2, 129,000 variable cost 513,000 185,000 125,000 contribution Margin 383.000 460,000 843,000 Traceable Fixed cost 470,000 269,000 739000 Common Fixed cost 116,000 85.000 201,000 Net Operating Income -203,000 106,000 -97,000

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!