USProducts Operates Two Divisions with the Following Sales and Expense

question 49

Multiple Choice

U.S.Products operates two divisions with the following sales and expense information for the month of July: East Division: Sales $240,000; Contribution margin ratio 35%, Direct fixed expenses $48,000.
West Division: Sales $160,000; Contribution margin ratio 50%, Direct fixed expenses $32,000.
U.S.Products' total fixed expenses during July was $200,000.
U.S.Products' common fixed expenses for July are:

• A)$80,000.
• B)$84,000.
• C)$120,000.
• D)$200,000.

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