ACCOUNTING Ch 6 Quiz Question 6 (of 10) 6. Gunderman Corporetion hes two divisio

Question

ACCOUNTING Ch 6 Quiz Question 6 (of 10) 6. Gunderman Corporetion hes two divisions the Alpha Division and the Charlie DMision. The Alpha DrMsion has sales of $265,000, variable expenses of $141,600, and traceable fixed expenses of $66,800. The Charlie DMsion has sales of $575.000, variable expenses of $321,800, and traceable fixed expenses of $126,300. company's net operating income? enmount of common tixed expenises not traceable to the Individual divisions is $126,200. What is the O $376600 O $57300 O $253 200 F8 F1o 5 Fy 6 7 8

Explanation / Answer

C. $57,300

Divisions Total Company Alpha Division Charlie Division Sales $840,000 $265,000 $575,000 Less: variable expenses $463,400 $141,600 $321,800 Contribution margin $376,600 $123,400 $253,200 Less: traceable fixed expenses $193,100 $66,800 $126,300 Divisional segment margin $183,500 $56,600 $126,900 Less common fixed expenses $126,200 Net operating income $57,300

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