Clemmens Corporation has two major business segments: Consumer and Commercial. Data for the segments and...
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Accounting
Clemmens Corporation has two major business segments: Consumer and Commercial. Data for the segments and for the company for August appear below:
Sales revenues, Consumer
$390,000
Sales revenues, Commercial
$530,000
Variable expenses, Consumer
$179,000
Variable expenses, Commercial
$265,000
Traceable fixed expenses, Consumer
$59,000
Traceable fixed expenses, Commercial
$64,000
In addition, common fixed expenses totaled $265,000 and were allocated as follows: $135,000 to the Consumer business segment and $130,000 to the Commercial business segment. A properly constructed segmented income statement in a contribution format would show that the net operating income of the company as a whole is:
options:
$88,000
$353,000
$476,000
-$177,000
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