Reference no: EM13755015
The following information is available for Pet Store Company and its two divisions, Pet Supplies and Training. Whole Pet Supplies Training Company Division Net sales $170,000 $70,000 $100,000 Fixed costs: Controllable by division managers 16,000 10,000 6,000 Controllable by others 8,000 6,000 2,000 Variable costs: Cost of merchandise sold 46,000 28,000 18,000 Operating expenses 14,000 8,000 6,000 Unallocated costs 14,000
A) Compute the contribution margin for the Pet Supplies Division.
B) Compute the contribution controllable by the manager of the Training Division.
C) Compute the contribution by segment for the Training Division.
D) Compute the income before taxes for the whole company.
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