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Prepare segmented income statement in contribution format

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Question - ABC Co. has two business segments -- Dept A and Dept B.

Sales revenues, Dept A $735,000

Variable expenses, Dept A $342,000

Traceable fixed expenses, Dept A $174,000

Sales revenues, Dept B $777,000

Variable expenses, Dept B $426,000

Traceable fixed expenses, Dept B $125,000

Common fixed expenses were allocated to Dept A in the amount of $187,000 and Dept B $246,000. Prepare a segmented income statement in the contribution format.

Reference no: EM133156722

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