The Delta Division of Georgia Corporation Generated Net Revenues of $6,000,000

question 168

Multiple Choice

The Delta division of Georgia Corporation generated net revenues of $6,000,000 and variable expenses of $3,500,000 during the year.If direct fixed costs were $1,000,000 and the segment margin was $1,500,000, what are the common corporate fixed costs?

• A)$1,500,000
• B)$4,500,000
• C)$5,00,000
• D)The answer cannot be determined from the information given.

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Definitions:

Nematocyst

A specialized cell in the tentacles of a cnidarian, such as a jellyfish, containing a barbed or venomous coiled thread that can be projected in self-defense or to capture prey.

Cnidarians

A phylum of aquatic invertebrates known for their specialized cells called cnidocytes, which they use for capturing prey.

Polyp Form

A type of body form in cnidarians, such as corals and sea anemones, characterized by a cylindrical shape and a mouth surrounded by tentacles.

Ciliated Larvae

Larval forms of certain aquatic animals, particularly some mollusks and annelids, which have cilia (tiny hair-like structures) for movement and feeding.