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What are the operating profits in each division for year

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At the end of year 8, actual corporate costs incurred (in thousands of dollars) were $14,000. Of the $14,000, $8,000 was fixed. Actual results (in thousands of dollars) in the two divisions are as follows.

                                                         Asia                Europe

Revenues                                        $28,600                 $36,400
Direct costs                                     14,300                  21,840
Operating profit before allocation           $14,300                 $14,560

Problem 1: What are the operating profits in each division for year 8 after the corporate costs are allocated?

Reference no: EM132644664

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