Tubaugh Corporation has two major business segments--East and West. In December, the East business segment...
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Tubaugh Corporation has two major business segments--East and West. In December, the East business segment had sales revenues of $340,000, variable expenses of $185,000, and traceable fixed expenses of $41,000. During the same month, the West business segment had sales revenues of $1,010,000, variable expenses of $520,000, and traceable fixed expenses of $193,000. The common fixed expenses totaled $294,000 and were allocated as follows: $147,000 to the East business segment and $147,000 to the West business segment.
The contribution margin of the West business segment is:
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