Required informationCountywide Cable Services, Incorporated, is organized with three segments: Metro, Suburban, and Outlying. Data forthese segments for the year just ended followService revenueVariable expensesControllable fixed expensesFixed expenses controllable by othersMetro$1,000,000200,000400,000230,000Suburban$ 800,000150,000320,000200,000Outlying$ 400,000100,000150,00090,000In addition to the expenses listed above, the company has $95,000 of common fixed expenses. Income-tax expense forthe year is $145,000.2. Construct an Excel spreadsheet to solve the preceding requirement. Show how the solution will change if the following information changes: the salesrevenues were $950,000 and $815,000 for Metro and Suburban, respectively.

2MetroSuburbanOutlyingTotalService revenue9500008150004000002165000Less: variable…

Answered: 2. Construct an Excel spreadsheet to…

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter14: Decentralized Operations

Section: Chapter Questions

Problem 14.9E: Profit center responsibility reporting On-Demand Sports Co. operates two divisions—the Action Sports...

See similar textbooks

Similar questions

Line Item Description SegmentMediaNetworks SegmentParks, Experiences,and Products SegmentEntertainment Direct-to-Consumer& International Revenues $28,393 $16,502 $9,636 $16,967 Operating expenses (19,400) (16,600) (7,100) (19,800) Operating income $8,993 $(98) $2,536 $(2,833) Assume the following percentages of total operating expenses for each segment are variable: Segment Percentage of VariableOperating Expenses Media Networks 75% Parks, Experiences, and Products 60% Studio Entertainment 80% Direct-to-Consumer & International 70% Question Content Area a. Prepare a variable costing income statement for The Walt Disney Company by segment. If required, use a minus sign to indicate an operating loss. Round all amounts to the nearest million. The Walt Disney CompanyVariable Costing Income Statement(in millions) Line Item Description MediaNetworks Parks, Experiences,and Products StudioEntertainment Direct-to-Consumer &International…
Countywide Cable Services, Inc., is organized with three segments: Metro, Suburban, and Outlying. Data for these segments for the year just ended follow. Metro Suburban Service revenue Variable expenses Controllable fixed expenses Fixed expenses controllable by others $970,000 154, 000 356,000 184,000 $770,000 104,000 276,000 154,000 Outlying $370,000 54,000 106,000 44,000 In addition to the expenses listed above, the company has $55,000 of common fixed expenses. Income-tax expense for the year is $255,000. ces Required: 1. Prepare a segmented income statement for Countywide Cable Services, Inc. SEGMENTED INCOME STATEMENTS: COUNTYWIDE CABLE SERVICES, INC. Segments of Company Countywide Cable Services Outlying Metro Suburban Segment contribution margin < Prev 2 of 7 Next
Countywide Cable Services, Inc., is organized with three segments: Metro, Suburban, and Outlying. Data for these segments for the year just ended follow. Service revenue Variable expenses Controllable fixed expenses Fixed expenses controllable by others Metro $960, 000 152,000 353, 000 182,000 Suburban $760,000 102,000 273,000 152,000 Outlying $360,000 52,000 103,000 42,000 In addition to the expenses listed above, the company has $50,000 of common fixed expenses. Income-tax expense for the year is $250.000. Required: 1. Prepare a segmented income statement for Countywide Cable Services, Inc. SEGMENTED INCOME STATEMENTS: COUNTYWIDE CABLE SERVICES, INC. Segments of Company Countywide Cable Services Outlying Metro Suburban Segment contribution margin %24 0 $ Profit margin controllable by segment manager 2$ 0 $ 0 $ 0 $ Profit margin traceable to segment %24 0 $ 0 $ MacBook Pro %23 % & 3 4 * 7 8 E R T Y { D F K V MOSISO
Revenues 800,000Income from continuing operations 100,000Comprehensive income 120,000Net income 90,000 Income from operations 220,000Selling and administrative expenses 500,000Income before income tax 200,000Required: Calculate the following: i. Other income and expenses ii. Financing costs iii. Income tax iv. Discontinued operations v. Other comprehensive income
Assigning Traceable Fixed Expenses Selected data for Colony Company, which operates three departments, follow: Department A Department B Department C Inventory $100,000 $360,000 $140,000 Equipment (average cost) $900,000 $540,000 $360,000 Payroll $607,500 $540,000 $202,500 Square feet of floor space 27,000 13,500 4,500 During the year, the company's fixed expenses included the following: Depreciation on equipment $150,000 Real estate taxes 45,000 Personal property taxes (on inventory and equipment) 72,000 Personnel department expenses 75,000 Assume that the property tax rate is the same for both inventory and equipment. Using the most causally related bases, prepare a schedule assigning the fixed expenses to the three departments. Hint: Not all fixed exper traceable to the three departments. One of these fixed costs should be considered a common cost and not traceable to the departments. Do not round until your final answer. Round final answer to the nearest whole number. Department A…
Countywide Cable Services, Inc., is organized with three segments: Metro, Suburban, and Outlying. Data for these segments for the year just ended follow. Outlying $370,000 54,000 106,000 44,000 Metro Suburban $770,000 104,000 276,000 154,000 Service revenue $970,000 Variable expenses Controllable fixed expenses Fixed expenses controllable by others 154,000 356,000 184,000 In addition to the expenses listed above, the company has $55,000 of common fixed expenses. Income-tax expense for the year is $255,000. Required: 1. Prepare a segmented income statement for Countywide Cable Services, Inc. SEGMENTED INCOME STATEMENTS: COUNTYWIDE CABLE SERVICES, INC. Segments Company Countywide Cable Services Metro Suburban Outlying Segment contribution margin 0 $ 0 $ 2$ < Prev Nax 2 of 7 hulu
Profit center responsibility reporting On-Demand Sports Co. operates two divisions—the Action Sports Division and the Team Sports Division. The following income and expense accounts were provided as of November 30. 20Y1, the end of the current fiscal year, after all adjustments, including those for inventories, were recorded The bases to be used in allocating expenses, together with other essential information, are as follows a.Advertising expense—incurred al headquarters, charged back to divisions on the basis of usage: Action Sports Division. $1,200,000; Team Sports Division, $1,800,000. b. Transportation expense—charged hack lo divisions at a charge rale of $18.50 per bill of lading: Action Sports Division, 14.000 bills of lading; Team Sports Division. 21.400 bills of lading. C. Accounts receivable collection expense—incurred al headquarters, charged back to divisions at a charge rate of $9-00 per invoice: Action Sports Division. 32.000 sales invoices; Team Sports Division, 12.500 sales invoices. d. Warehouse expense—charged back to divisions on the basis of floor space used in storing division products: Action Sports Division. 120.000 square feet; Team Sports Division. 80.000 square feet. Prepare divisional income statements with two column headings: Action Sports Division and Team Sports Division. Provide supporting schedules for determining service department charges.
Summary Data for April Support Department Support Departments Production Departments Information Research and Technology Travel Service Analysis Audit Tax Consulting Total IT: Number of employees TS: Number of trips 9 5 15 120 150 110 409 15 12 10 120 160 520 837 RA: Number of requests Costs to Allocate 15 10 4 125 120 280 554 $ 810,000.00 $125,000.00 $1,280,000.00 $ $ $ $2,215,000.00 Question Answer 1. Which of the following is the closest approximation of the sales forecast's upper confidence bound for the 1/1/2028 quarter? 2. Based on the graph and the breadth of the confidence intervals, which seems easier to predict, sales or income before extraordinary items? 3. What is the sales forecast's upper confidence bound for the 10/1/2027 quarter? 4. What is the forecast lower confidence bound for the 4/1/2027 quarter? 5. What is the forecast for income before extraordinary items for Nintendo for the quarter starting 10/1/2027?
Required information [The following information applies to the questions displayed below.] Use the following information: P1 P2 Department Service 1 (51) Service 2 (S2) Production 1 (P1) Production 2 (P2) Total Service Department 1's Costs Cost $ 130,000 62,000 525,000 396,000 $ 1,113,000 1/3 1/3 Percentage Service Provided to S1 0% 20 52 25% 0 What percentage of S1's costs is allocated to P1 and to P2 under the direct method? (Round your answer to the nearest fraction P1 30% 20 P2 45% 60
Divisional income statements with support department allocations Horton Technology has two divisions, Consumer and Commercial, and two corporate support departments, Tech Services and Purchasing. The corporate expenses for the year ended December 31, 20Y7, are as follows: Tech Services Department $1,158,300 480,000 Purchasing Department Other corporate administrative expenses 704,000 $2,342,300 Total expense The other corporate administrative expenses include officers' salaries and other expenses required by the corporation. The Tech Services Department allocates costs to the divisions based on the number of computers in the department, and the Purchasing Department allocates costs to the divisions based on the number of purchase orders for each department. The services used by the two divisions are as follows: Consumer Division Commercial Division Total Tech Services 500 computers 310 810 computers Purchasing 5,600 purchase orders 10,400 16,000 purchase orders The support department…
Countywide Cable Services, Incorporated, is organized with three segments: Metro, Suburban, and Outlying. Data for these segments for the year just ended follow. Metro Suburban Service revenue $ 1,150,000 Variable expenses 190,000 $ 950,000 140,000 Controllable fixed expenses Fixed expenses controllable by others 410,000 220,000 330,000 190,000 Outlying $ 550,000 90,000 160,000 80,000 In addition to the expenses listed above, the company has $145,000 of common fixed expenses. Income-tax expense for the year is $345,000. Required: 1. Prepare a segmented income statement for Countywide Cable Services, Incorporated. SEGMENTED INCOME STATEMENTS: COUNTYWIDE CABLE SERVICES, INCORPORATED Segments of Company Countywide Cable Services Metro Suburban Outlying Segment contribution margin Profit margin controllable by segment manager Profit margin traceable to segment
Required information [The following information applies to the questions displayed below.] Suresh Company reports the following segment (department) income results for the year. Sales Department M $ 68,000 Department N $ 38,000 Department 0 $ 65,000 Department P $ 47,000 Department T $ 33,000 Total $ 251,000 Expenses Avoidable 12,300 Unavoidable Total expenses Income (loss) 53,800 66,100 39,400 15,600 55,000 23,900 4,700 28,600 16,500 36,400 42,300 13,300 134,400 123,800 52,900 55,600 258,200 $ 1,900 $ (17,000) $ 36,400 $ (5,900) $ (22,600) $ (7,200) b. Compute the total increase in income if the departments with sales less than avoidable costs, as identified in part a, are eliminated. Total increase in income $ 3,700

SEE MORE QUESTIONS

Recommended textbooks for you

Survey of Accounting (Accounting I)

Accounting

ISBN:

9781305961883

Author:

Carl Warren

Publisher:

Cengage Learning

Survey of Accounting (Accounting I)

Accounting

ISBN:

9781305961883

Author:

Carl Warren

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS

2. Construct an Excel spreadsheet to solve the preceding requirement. Show how the solution will change if the following information changes the sales revenues were $950,000 and $815,000 for Metro and Suburban, respectively.