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
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
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