Sunland Equipment sells equipment to sports enthusiasts. Doug Sunland, the company's president, just received the following incomestatement reporting the results of the past year.Sales revenueVariable cost of goods soldFixed cost of goods soldGross profitVariable operating expensesFixed operating expensesCommon fixed costsOperating income(a)Baseball$1,200,000eTextbook and Media814,000Save for Later110,300275,700162,80076,20057,500($20,800)SoccerBasketball$3,450,000 $2,275,0002,242,5001,825,600179,700158,5001,027,800552,00080,500124,000$271,300290,900227,50069,90092,900($99,400)Total$6,925,0004,882,100448,5001,594,400Doug is concerned that two of the company's divisions are showing a loss, and he wonders if the company should stop selling baseballand basketball gear to concentrate solely on soccer gear.942,300226,600274,400$151,100Prepare a segment margin income statement. Fixed cost of goods sold and fixed operating expenses can be traced to eachdivision. (If the amount is negative then enter with a negative sign preceding the number, eg. -5,125 or parenthesis, e.g. (5.125))BaseballSSoccerUUAttempts: 0 of 3 used Submit Answer

Income statement is the one which is prepared to report the profitability of the entity. It helps to…

Sunland Equipment sells equipment to sports enthusiasts. Doug Sunland, the company's president, just received the following income statement reporting the results of the past year. Sales revenue Variable cost of goods sold Fixed cost of goods sold Gross profit Variable operating expenses Fixed operating expenses Common fixed costs Operating income Baseball $1,200,000 814,000 110,300 275,700 162,800 eTextbook and Media 76,200 57,500 ($20,800) Save for Later Soccer Basketball $3,450,000 $2,275,000 2,242,500 1,825,600 179,700 158,500 1,027,800 290,900 552,000 227,500 80,500 69,900 124,000 92,900 $271,300 ($99,400) Doug is concerned that two of the company's divisions are showing a loss, and he wonders if the company should stop selling baseball and basketball gear to concentrate solely on soccer gear. Total $6,925.000 4,992.100 448,500 Prepare a segment margin income statement. Fixed cost of goods sold and fixed operating expenses can be traced to each division. (If the amount is negative then enter with a negative sign preceding the number, eg.-5,125 or parenthesis, eg. (5.125)) 1,594,400 942,300 226,600 274,400 $151.100 Baseball Soccer Attempts: 0 of 3 used Submit Answer

Sunland Equipment sells equipment to sports enthusiasts. Doug Sunland, the company's president, just received the following income statement reporting the results of the past year. Sales revenue Variable cost of goods sold Fixed cost of goods sold Gross profit Variable operating expenses Fixed operating expenses Common fixed costs Operating income Baseball $1,200,000 814,000 110,300 275,700 162,800 eTextbook and Media 76,200 57,500 ($20,800) Save for Later Soccer Basketball $3,450,000 $2,275,000 2,242,500 1,825,600 179,700 158,500 1,027,800 290,900 552,000 227,500 80,500 69,900 124,000 92,900 $271,300 ($99,400) Doug is concerned that two of the company's divisions are showing a loss, and he wonders if the company should stop selling baseball and basketball gear to concentrate solely on soccer gear. Total $6,925.000 4,992.100 448,500 Prepare a segment margin income statement. Fixed cost of goods sold and fixed operating expenses can be traced to each division. (If the amount is negative then enter with a negative sign preceding the number, eg.-5,125 or parenthesis, eg. (5.125)) 1,594,400 942,300 226,600 274,400 $151.100 Baseball Soccer Attempts: 0 of 3 used Submit Answer

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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Sunland Equipment sells equipment to sports enthusiasts. Doug Sunland, the company's president, just received the following income statement reporting the results of the past year. Sales revenue Variable cost of goods sold Fixed cost of goods sold Gross profit Variable operating expenses Fixed operating expenses Common fixed costs Operating income (a) Baseball $1,200,000 eTextbook and Media 814,000 Save for Later 110,300 275,700 162,900 76,200 57,500 ($20,800) Soccer $3,450,000 $2,275,000 2,242,500 1,825,600 179,700 158,500 290,900 227,500 69,900 92,900 1,027,800 552,000 80,500 124,000 $271,300 Basketball Doug is concerned that two of the company's divisions are showing a loss, and he wonders if the company should stop selling baseball and basketball gear to concentrate solely on soccer gear. ($99,400) Prepare a segment margin income statement. Fixed cost of goods sold and fixed operating expenses can be traced to each division. (If the amount is negative then enter with a negative…
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