Reference no: EM132806401
Question - Bender Company is evaluating its three divisions, the North American Division, the South American Division and the European Division. The following financial information is for the consolidated company:
Revenues $10,600,000
Variable costs 4,240,000
Contribution margin 6,360,000
Fixed costs 6,000,000
Net income 360,000
During 2014 revenues for the three segments were $3,200,000, $2,900,000 and $4,500,000 respectively. Variable costs for all three segments were 40%. Fixed costs of $2,000,000 have been assigned to each segment. 85% of the North American fixed costs are traceable, 70% of the South American fixed costs are traceable and 90% of the European fixed costs are traceable.
Required -
1. Prepare a segmented income statement showing the details for the divisions and the company as a whole.
2. Should any of the divisions be considered for elimination? Explain.
3. Based on the segmented income statement, identify specific items that management should investigate further.
|
Compensation
: Address the role of unions in wage and salary policies and practices. Explain alternative rewards systems for unions and their purpose.
|
|
For what amount would bryer record goodwill
: The book value of Stellar's assets and liabilities are not known. For what amount would Bryer record goodwill associated with the purchase
|
|
What amount of interest revenue should be recorded for year
: Yum Company leased equipment to Burger Company, What amount of interest revenue should be recorded for the year ended December 31, 2020?
|
|
Salary negotiation is tricky subject
: Salary negotiation is a tricky subject. It is a balancing act of wanting a position, wanting to be compensated appropriately for the skills you have and the wor
|
|
Prepare a segmented income statement
: During 2014 revenues for the three segments were $3,200,000, $2,900,000 and $4,500,000 respectively. Prepare a segmented income statement
|
|
Compute for the book value of non-cash assets
: Compute for the book value of non-cash assets. On December 31, 2013, the books of RPN partnership showed capital balances of $90,000, $70,000
|
|
What is the current state of covid-19
: How do the current research findings (positive and/or negatively) affect quality care in hospitals throughout your respective state.
|
|
Prepare jun journal entry
: Prepare Jun's journal entry assuming the note is honored by the customer on October 31 of that same year. What is the interest revenue journal entry
|
|
Prepare the necessary calculations and journal entries
: Bonanza Mining Ltd conducted CSG operations in Tara, Prepare the necessary calculations and journal entries for 30 June 2020, 30 June 2021 and 30 June 2022.
|