Shannon company segments its income statement into its north and south divisions. the company’s overall sales, contribution margin ratio, and net operating income are $780,000, 50%, and $62,400, respectively. the north division’s contribution margin and contribution margin ratio are $247,500 and 75%, respectively. the south division’s segment margin is $68,000. the company has $117,000 of common fixed expenses that cannot be traced to either division.***need full explanation step by step *** you! ***required: prepare an income statement for shannon company that uses the contribution format and is segmented by divisions. (round your percentage answers to 1 decimal place (i. e .1234 should be entered as 12.3))division total compay north south sales amount % amount % amount %variable expenses contribution margin traceable fixed expenses territorial segment margin common fixed expenses net operating income

Highland company produces a lightweight backpack that is popular with college students. standard variable costs relating to a single backpack are given below

mark, a civil engineer, entered into a contract with david. as per the contract, mark agreed to design and build a house for david for a specified fee. mark provided david with an estimation of the total cost and the contract was mutually agreed upon. however, during construction, when mark increased the price due to a miscalculation on his part, david refused to pay the amount. this scenario is an example of a mistake.

Shrieves casting company is considering adding a new line to its product mix, and the capital budgeting analysis is being conducted by sidney johnson, a recently graduated mba. the production line would be set up in unused space in the main plant. the machinery’s invoice price would be approximately $200,000, another $10,000 in shipping charges would be required, and it would cost an additional $30,000 to install the equipment. the machinery has an economic life of 4 years, and shrieves has obtained a special tax ruling that places the equipment in the macrs 3-year class. the machinery is expected to have a salvage value of $25,000 after 4 years of use. the new line would generate incremental sales of 1,250 units per year for 4 years at an incremental cost of $100 per unit in the first year, excluding depreciation. each unit can be sold for $200 in the first year. the sales price and cost are both expected to increase by 3% per year due to inflation. further, to handle the new line, the firm’s net working capital would have to increase by an amount equal to 12% of sales revenues. the firm’s tax rate is 40%, and its overall weighted average cost of capital, which is the risk-adjusted cost of capital for an average project (r), is 10%. define “incremental cash flow.” (1) should you subtract interest expense or dividends when calculating project cash flow?