Nicholas Technologies operates two divisions: Hardware Services and Software Services. During the current month, the two di reported the following results. Hardware Software $ 760,000 45% $ 125,000 Sales $ 600,000 Variable costs (as a percentage of sales) Traceable fixed costs 40% $ 250,000 In addition, fixed costs common to both divisions amounted to $216,000. Prepare an income statement showing percentages as well as dollar amounts. Conclude your statement with income from opera for the business and with the responsibility margin for each division. (Round percentage answers to 2 decimal place. i.e. 0.1234 should be considered as 12.34%.)
Nicholas Technologies operates two divisions: Hardware Services and Software Services. During the current month, the two di reported the following results. Hardware Software $ 760,000 45% $ 125,000 Sales $ 600,000 Variable costs (as a percentage of sales) Traceable fixed costs 40% $ 250,000 In addition, fixed costs common to both divisions amounted to $216,000. Prepare an income statement showing percentages as well as dollar amounts. Conclude your statement with income from opera for the business and with the responsibility margin for each division. (Round percentage answers to 2 decimal place. i.e. 0.1234 should be considered as 12.34%.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Help please
Transcribed Image Text:Nicholas Technologies operates two divisions: Hardware Services and Software Services. During the current month, the two divi
reported the following results.
Hardware
Software
Sales
$600,000
$ 760,000
Variable costs (as a percentage of sales)
40%
45%
Traceable fixed costs
$ 250,000
$ 125,000
In addition, fixed costs common to both divisions amounted to $216,000.
Prepare an income statement showing percentages as well as dollar amounts. Conclude your statement with income from operat
for the business and with the responsibility margin for each division. (Round percentage answers to 2 decimal place. i.e. 0.1234
should be considered as 12.34%.)
NICHOLAS TECHNOLOGIES
Responsibility Income Statement
For the Current Month
Entire Company
Hardware Services Division
Software Services Division
Percent of
Dollars
Sales
Dollars
Percent of Sales
Dollars
Percent of Sales
%
%
$4
0.00 %
24
0.00 %
24
0.00 %
0.00 %
$4
0.00 %
24
0.00 %
2$
0.00 %
< Prev
3 of 5
Next >
earch
99+
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education