Question: Using the data below for the Ace Guitar Company: A Region B Region Sales $864,000 $576,000 Cost of goods sold 328,300 218,900 Selling expenses 207,400

Using the data below for the Ace Guitar Company:

	A Region	B Region
Sales	$864,000	$576,000
Cost of goods sold	328,300	218,900
Selling expenses	207,400	138,200

Support department expenses:
Purchasing			$241,900
Payroll accounting			161,300

Allocate support department expenses proportional to the sales of each region. Determine the divisional operating income for the A and B regions. For interim calculations, round percentages to two decimal places and all other amounts to the nearest whole dollar.

A Region Operating Income	$fill in the blank 1
B Region Operating Income	$fill in the blank 2

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