Business, 20.01.2020 18:31 karmalol2271

Fa cost is a common cost of the segments on a segmented income statement, the cost should:

not be allocated to the segments.
be excluded from the income statement.
be treated as a product cost rather than as a period cost.
be allocated to the segments on the basis of segment sales.
.

anderson corporation has two major business segments-north and south. in july, the north business segment had sales revenues of $220,000, variable expenses of $125,000, and traceable fixed expenses of $29,000. during the same month, the south business segment had sales revenues of $890,000, variable expenses of $472,000, and traceable fixed expenses of $169,000. the common fixed expenses totaled $246,000 and were allocated as follows: $123,000 to the north business segment and $123,000 to the south business segment.

the contribution margin of the south business segment is:

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Fa cost is a common cost of the segments on a segmented income statement, the cost should:

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