Question: w Problem 3.(20 points) Middleton Associates has two divisions: A and B. During the year just ended, Division had asement margin of $9,000 and variable

w Problem 3.(20 points) Middleton Associates has two divisions: A and B. During the year just ended, Division had asement margin of $9,000 and variable costs equal to 70% of sales. Traceable foed costs for Division E were $19,000. Hatch Company as a whole had a contribution margin of 40%, a segment margin of $25.000, Common costs of $10,000 and sales of $200,000. Given this data, prepare segmented income statements showing the Total as well as amounts for Division A and B. Complete the following table. Use the next page to show your calculations for partial credits *Tir: Company Segment CM = Division A Segment CM + Division B Segment CM Division A Division A Division B Division B Total [Company) Total Company Percentage Percentage Percentage Sales 70% Variable Cost ? ? ? ? Contribution 40% ? Margin 19,000 ? Traceable ? Fuad rast Traceable ? ? 19,000 Fixed Cost 9,000 ? 25,000 Segment Contribution Focs Margin 5 Heade Less: 10,000 Common Cost 2 Operating Income
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