Oriole Industries production division reported a net operating loss of $516000 in 2021. Included in that amount were common fixedcorporate expenses of $734000 that were allocated to divisions based on segment gross profit. The division's segment margin wasO $218000.O ($218000).O $516000.O ($516000). Wildhorse sells two products: Standard and Deluxe. The company had sales of $811000 during the current year. The company'scontribution margin ratio was 40% and total fixed costs totaled $311000. Sales were $609000 for Standard and $202000 for Deluxe.Traceable fixed costs were $161000 for Standard and $101000 for Deluxe. Variable costs were $371000 for Standard and $111000for Deluxe. What is the segment margin for the Deluxe product?LO $13400O $10000O ($10000)O $91000

Division segment margin can be calculated by deducting the net operating loss from the common fixed expenses. It is also can be calculated by deducting the variable and avoidable fixed cost from segment revenue.“Since you have asked multiple questions, we will solve the first question for you. If you want any specific question to be solved then please specify the question number or post only that question.” Division segment margin = Common fixed corporate expenses - Net operating loss = $ 734,000 - $ 516,000 = $ 218,000 The correct answer is $ 218,000

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Oriole Industries production division reported a net operating loss of $516000 in 2021. Included in that amount were common fixed corporate expenses of $734000 that were allocated to divisions based on segment gross profit. The division's segment margin was O $218000. O ($218000). O $516000. O ($516000). K

Oriole Industries production division reported a net operating loss of $516000 in 2021. Included in that amount were common fixed corporate expenses of $734000 that were allocated to divisions based on segment gross profit. The division's segment margin was O $218000. O ($218000). O $516000. O ($516000). K

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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