PROBLEM 6-26 Restructuring a Segmented Income Statement [L06-4] Losses have been incurred at Millard Corporation for some time. In an effort to isolat and improve the company's performance, management has requested that the mon e problem thly 's first effort at preparing a segmented state- atement be segmented by sales region. The company ment is given below. This statement is for May, the most recent month of activity. Sales Region Central West East Sales $450,000 $800,000 $750,000 Regional expenses (traceable): Cost of goods sold Salaries . . Depreciation 90,000 88,000 135,000 13,500 27,000 28,000 30,000 17.100 2100 12,000 32,000 Regional income (loss) before corporate expenses ...31,500 160,000 15,000 28,500 Corporate expenses (45,000 32,000 30,000 50,000 68,000 50,000 50,000 82,000 80,000 Net operating income (loss)... 5(36.500) 78,000 $(12500