Consider the Following Portion of a Segmented Income Statement for the Year

question 90

Multiple Choice

Consider the following portion of a segmented income statement for the year just ended. Assume fixed expenses of Division X include $30,000 of direct expenses and that the discontinuance of the department will not affect the sales of the other departments nor reduce the common expenses. What is X's divisional segment margin?

• A) ($10,000)
• B) $40,000
• C) $10,000
• D) $100,000

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Definitions:

Cafeteria

Generally refers to a type of food service location within schools, hospitals, or workplaces where people choose from various food options.

Response Cost

A behavior modification technique where undesired behaviors are discouraged by removing a positive stimulus or reward.

Inappropriate Behavior

Conduct that is not suitable or proper in a specific setting, often violating social or professional norms.

Habit Reversal

A variation on positive practice overcorrection that involves having students practice a behavior that is incompatible with the inappropriate behavior.