Magenta Company has two divisions that produce two different
products. Following is information pertaining to its two divisions
for the month of June:
?
Division Gold
Division Silver
Variable selling and
administrative expenses
$ 30,000.00
$ 20,000.00
Direct fixed
manufacturing expenses
$ 12,000.00
$
9,000.00
Sales
$150,000.00
$120,000.00
Direct fixed selling
and administrative expenses
$ 20,000.00
$ 15,000.00
Variable manufacturing
expenses
$ 60,000.00
$ 50,000.00
?
Common expenses are
$8,000 for the month of June.
Compute the segment
margin for Division Silver.
a.
$40,000
b.
$28,000
c.
$26,000
d.
$30,000