Forever Memories Company Has Two Divisions and the Following Information

question 66

Essay

Forever Memories Company has two divisions and the following information available:
a.Net sales were $150,000.$90,000 was attributed to the Cherry Division.
b.Variable costs were $80,000.40% was attributed to the Grape Division.
c.Total separable fixed costs controllable by division managers were $32,000,of which $20,000 applied to the Cherry Division.
d.Total separable fixed costs,not controllable by division managers were $14,000 in the Cherry Division and $4,000 in the Grape Division.
e.Unallocated costs were $7,000.
Required:
Prepare a contribution approach income statement for the company as a whole and each division.

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