Halland Ltd prepared its segmented income statement as shown aboveSalesVariable expenseContribution margin$Traceable fixed expenses $Common fixed expenses $Net profit$O A. $667,000O B. $1,385,000O CDivision A Division B Company800,000 $400,000 $$673,000$$Breakeven point in $ of Halland Ltd isO D. $385,000400,000 $250,000 $160,000 $90,000 $200,000 $1,000,00080,000 $120,000 $100,000 $40,000 $60,000 $480,000520,000350,000200,000150,000

CM ratio or contribution to sales ratio = contribution margin/ sales x 100…

Halland Ltd prepared its segmented income statement as shown above Division A Division B Company $ 800,000 $ 200,000 $ $ 400,000 $ 80,000 $ Contribution margin $ 400,000 $ 120,000 $ 100,000 $ Traceable fixed expenses $ 250,000 $ Common fixed expenses $ 160,000 $ 40,000 $ Net profit $ 90,000 $ 60,000 $ Sales Variable expense Breakeven point in $ of Halland Ltd is 1,000,000 480,000 520,000 350,000 200,000 150,000

Halland Ltd prepared its segmented income statement as shown above Division A Division B Company $ 800,000 $ 200,000 $ $ 400,000 $ 80,000 $ Contribution margin $ 400,000 $ 120,000 $ 100,000 $ Traceable fixed expenses $ 250,000 $ Common fixed expenses $ 160,000 $ 40,000 $ Net profit $ 90,000 $ 60,000 $ Sales Variable expense Breakeven point in $ of Halland Ltd is 1,000,000 480,000 520,000 350,000 200,000 150,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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