Franklin,Inc

question 13

Multiple Choice

Franklin,Inc.has two divisions,Seward and Charles.Following is the income statement for the previous year: Of the total fixed costs,$300,000 are common fixed costs that are allocated equally between the divisions.What would Franklin's profit margin be if Charles were dropped?

• A)$60,000
• B)$80,000
• C)$100,000
• D)$230,000

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Definitions:

Fruit

The mature ovary of a flowering plant, often containing seeds and consumed as food by a variety of organisms.

Double Fertilization

A distinctive process in angiosperms whereby one sperm cell fertilizes the egg cell to form a zygote while another sperm cell combines with two polar nuclei to form an endosperm.

Flowering Plants

Flowering plants, also known as angiosperms, are plants that produce flowers and seeds enclosed within a fruit.

Integuments

Layers of protective tissue covering the body of an organism, such as skin, husks, or rinds.