The Following Information Is Available for Halquist Stone Company and Its

question 36

Multiple Choice

The following information is available for Halquist Stone Company and its two divisions,Crushed Stone and Fieldstone.
$\begin{array}{lll}&\text { Whole } & \text { Crushed } & \\&\text { Company } & \text { Stone } & \text { Fieldstone }\\\text { Net sales }&\$100,000&\$60,000&\$40,000\end{array}$
Fixed costs controllable by
$\begin{array}{lll}\text { Division Manager }&16,500 & 12,500 & 4,000 \\\text { Fixed costs controlled by others }&8,000 & 5,000 & 3,000\end{array}$
Variable costs:
$\begin{array} { l } \text {Controllable by segment manager }&24,500&17,500&7,000\\ \text {Controllable by others }&16,400&10,000&6,400\\ \text {Unallocated costs }&1,000\\\end{array}$

What is the contribution controllable by the manager of the Crushed Stone Division?

• A) $20,000
• B) $32,500
• C) $35,000
• D) $42,500

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Definitions:

Irritates

Causes annoyance or discomfort to someone.

External Audience

Individuals or groups outside of an organization who are potential or actual recipients of communication from that organization.

Corporate Accountant

A professional responsible for managing and reporting a company’s financial information, including tax obligations, budgeting, and financial analysis.

Vice-President

A high-ranking executive in a company or organization, typically below the president, responsible for specific duties and departments.