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Total Company product AB. Product CD
Sales $800,000 $200,000 $600,000
variable cost $300,000 $100,000 $200,000
contribution ? ? ?
fixed cost
traceable fixed cost. >>>> $20,000 $80,000
common fixed cost ? Net Income $100,000
QUESTION: James Company has two products of AB and CD and the sales of those two products provided with the relative cost information.
What are the total common fixed costs?
a. $200,000
b. $300,000
c. $400,000
d. $100,000
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