Ch07 adj Werner Jones Mgt Acctg PP97 2003

34 60000 20400 1 747 flandro feed stores segment

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Unformatted text preview: Store $170,000 118,200 118,200 $ 51,800 23,000 23,000 $ 28,800 20,4003 20,400 $ 8,400 $105,000 ÷ $500,000 = 21% × $60,000 = $12,600 2 $225,000 ÷ $500,000 = 45% × $60,000 = $27,000 3 $170,000 ÷ $500,000 = 34% × $60,000 = $20,400 1 7 ­ 47 Flandro Feed Stores Segment Income Statement For the Year Ended December 31, 2005 Company Total Sales $500,000 Variable cost 332,950 332,950 Contribution margin $167,050 Direct fixed cost 75,000 75,000 Segment margin $ 92,050 Common fixed cost 60,000 60,000 Net income $ 32,050 North Store $105,000 73,750 73,750 $ 31,250 20,000 20,000 $ 11,250 12,6001 12,600 $ (1,350) South Store $225,000 141,000 141,000 $ 84,000 32,000 32,000 $ 52,000 27,0002 27,000 $ 25,000 Central Store $170,000 118,200 118,200 $ 51,800 23,000 23,000 $ 28,800 20,4003 20,400 $ 8,400 $105,000 ÷ $500,000 = 21% × $60,000 = $12,600 2 $225,000 ÷ $500,000 = 45% × $60,000 = $27,000 3 $170,000 ÷ $500,000 = 34% × $60,000 = $20,400 1 7 ­ 48 Flandro Feed Stores With North Store Eliminated Segment Income Statement For the Year Ended December 31, 2005 Company North Total Store Sales $395,000 Variable cost 259,200 259,200 Contribution margin $138,800 Direct fixed cost 55,000 55,000 Segment margin $ 80,800 Common fixed cost 60,000 60,000 Net income $ 20,800 South Store $225,000 141,000 141,000 $ 84,000 32,000 32,000 $ 52,000 34,2002 34,200 $ 17,800 Central Store $170,000 118,200 118,200 $ 51,800 23,000 23,000 $ 28,800 25,8003 25,800 $ 3,000 $225,000 ÷ $3...
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This note was uploaded on 03/16/2014 for the course ACC 212 taught by Professor Quintanna during the Spring '08 term at University of Miami.

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