Question: Using the data below for the Ace Guitar Company: A Region B Region Sales $464,000 $696,000 Cost of goods sold 176,300 264,500 Selling expenses 111,400

  1. Using the data below for the Ace Guitar Company:

    A Region B Region
    Sales $464,000 $696,000
    Cost of goods sold 176,300 264,500
    Selling expenses 111,400 167,000
    Service department expenses
    Purchasing $194,900
    Payroll accounting 129,900

    Allocate service department expenses proportional to the sales of each region. Determine the divisional income from operations for the A and B regions. For interim calculations, round percentages to one decimal place.

    A Region $______
    B Region $______

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