Tennison Corporation Has Two Major Business Segments-Consumer and Commercial

question 117

Multiple Choice

Tennison Corporation has two major business segments-Consumer and Commercial. Data for the segment and for the company for May appear below: In addition, common fixed expenses totaled $371,000 and were allocated as follows: $186,000 to the Consumer business segment and $185,000 to the Commercial business segment.
-A properly constructed segmented income statement in a contribution format would show that the net operating income of the company as a whole is:

• A)$769,000
• B)$104,000
• C)$475,000
• D)-$267,000

---

Definitions:

Nonunion Site

This defines a workplace where the employees are not organized into a labor union for collective bargaining with their employer.

Subcontracting

The practice of a company hiring another company to perform tasks, handle operations or provide services that are either difficult to manage or are outside the company's expertise.

Electromation Case

A legal case involving Electromation, Inc., that significantly impacted labor law, particularly regarding employer-employee negotiation processes.

Employee Committees

Groups formed within a business or organization consisting of employees tasked with addressing specific issues or tasks.