Division a Reported Operating Income of $975,000 and Total Support

question 109

Multiple Choice

Division A reported operating income of $975,000 and total support department allocations of $675,000. As a result,

• A)net income was $300,000
• B)the gross profit was $300,000
• C)operating income before support department allocations was $1,650,000
• D)consolidated net income was $300,000