Required information[The following information applies to the questions displayed below.]Suresh Company reports the following segment (department) Income results for the year.Department P$ 66,000SalesExpensesAvoidableUnavoidableTotal expensesIncome (loss)DepartmentDepartment MDepartment NDepartment ODepartment PDepartment TDepartment M Department N$ 85,000$ 45,000Decision17,80058,20076,000$ 9,00046,00022,20068,200$ (23,200)Department O$ 79,00019,3005,80025,100$ 53,900a. If the company plans to eliminate departments that have sales less than avoidable costs.22,00053,90075,900$ (9,900)Department T$ 39,00052,20021,00073,200$ (34,200)Total$ 314,000157,300161,100318,400$ (4,400)department(s) would be eliminated?

Avoidable costs are the type of costs that can be avoided/eliminated by shutting down the…

[The following information applies to the questions displayed below.] Suresh Company reports the following segment (department) Income results for the year. Department M Department N $ 85,000 $ 45,000 Department O Department P $ 79,000 $ 66,000 Sales Expenses Avoidable Unavoidable Total expenses Income (loss) Department P Department T 17,880 58,200 76,000 $ 9,000 Decision 46,000 22,200 68,200 $ (23,200) 19,300 5,800 25,100 $ 53,900 22,000 53,900 75,900 $ (9,900) Department T $ 39,000 52,200 21,000 73,200 $ (34,200) Total $ 314,000 a. If the company plans to eliminate departments that have sales less than avoidable costs, which department(s) would be eliminated? Department Department M Department N Department O 157,300 161,100 318,400 $ (4,400)

[The following information applies to the questions displayed below.] Suresh Company reports the following segment (department) Income results for the year. Department M Department N $ 85,000 $ 45,000 Department O Department P $ 79,000 $ 66,000 Sales Expenses Avoidable Unavoidable Total expenses Income (loss) Department P Department T 17,880 58,200 76,000 $ 9,000 Decision 46,000 22,200 68,200 $ (23,200) 19,300 5,800 25,100 $ 53,900 22,000 53,900 75,900 $ (9,900) Department T $ 39,000 52,200 21,000 73,200 $ (34,200) Total $ 314,000 a. If the company plans to eliminate departments that have sales less than avoidable costs, which department(s) would be eliminated? Department Department M Department N Department O 157,300 161,100 318,400 $ (4,400)

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter14: Decentralized Operations

Section: Chapter Questions

Problem 14.2E: Divisional income statements The following data were summarized from the accounting records for...

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Required information [The following information applies to the questions displayed below.] Suresh Company reports the following segment (department) income results for the year. Sales Department M $ 68,000 Department N $ 38,000 Department 0 $ 65,000 Department P $ 47,000 Department T $ 33,000 Total $ 251,000 Expenses Avoidable 12,300 Unavoidable Total expenses Income (loss) 53,800 66,100 39,400 15,600 55,000 23,900 4,700 28,600 16,500 36,400 42,300 13,300 134,400 123,800 52,900 55,600 258,200 $ 1,900 $ (17,000) $ 36,400 $ (5,900) $ (22,600) $ (7,200) b. Compute the total increase in income if the departments with sales less than avoidable costs, as identified in part a, are eliminated. Total increase in income $ 3,700
Required Information [The following information applies to the questions displayed below.] Suresh Company reports the following segment (department) income results for the year. Sales Expenses Department M $ 89,000 Department N $ 47,000 Department o $ 85,000 Department P $ 73,000 Department T $ 46,000 Total $ 340,000 48,400 24,600 Total expenses Income (loss) 73,000 $ 9,400 $ (26,000) 19,100 6,200 25,300 $ 59,700 24,000 55,800 167,100 59,700 23,800 174,100 83,700 79,600 341,200 $ (10,700) $ (33,600) $ (1,200) Avoidable Unavoidable 19,800 59,800 79,600 b. Compute the total increase in income if the departments with sales less than avoidable costs, as identified in part a, are eliminated. Answer is complete but not entirely correct. Total increase in income $ 10,800
Do the calculations in excel, attach excel screenshots and explain the steps and formulas used for solving the problem. Following are the particulars available
Suresh Company reports the following segment (department) income results for the year. Department M Department N Department 0 Department P $ 82,000 $ 44,000 $ 78,000 $ 65,000 Sales Expenses Avoidable Unavoidable Total expenses Income (loss) Department Department M Department N Department O Department P Department T 17,300 45,400 57,800 21,600 75, 100 67,000 $ 6,900 $ (23,000) Decision 18,000 5,700 23,700 $ 54,300 21,500 54,300 75,800 $ (10,800) Department T $ 43,000 51,300 20,300 71, 600 $ (28,600) Total $ 312,000 a. If the company plans to eliminate departments that have sales less than avoidable costs, which department(s) would be eliminated? 153,500 159, 700 313, 200 $ (1,200)
[The following information applies to the questions displayed below.] Suresh Company reports the following segment (department) income results for the year. Sales Expenses Avoidable Unavoidable Total expenses Income (loss) Department M Department N Department 0 Department P Department T $ 82,000 $ 44,000 $ 78,000 $ 65,000 $ 43,000 Total increase in income 17,300 57,800 75, 100 $ 6,900 45,400 21,600 67,000 $ (23,000) 18,000 5,700 23,700 51,300 20,300 71, 600 21,500 54,300 75,800 $ 54,300 $ (10,800) $ (28,600) Total $ 312,000 153,500 159, 700 313, 200 $ (1,200) b. Compute the al increase in income the departments with sales less than avoidable costs, as identified in part a, are eliminated.
Suresh Company reports the following segment (department) income results for the year. Department N Department 0 Department P $36,000 $ 57,000 $ 43,000 Sales Expenses Avoidable. Unavoidable Total expenses Income (loss) Department M $ 64,000 otal increase in income 10,300 52,200 62,500 $1,500 37,000 13,200 50,200 $ (14,200) $ 30,000 22,700 4,300 27,000 $ 30,000 14,500 30,000 44,500 $ (1,500) Department T $ 29,000 38,700 10,500 49,200 $ (20,200) Total $ 229,000 123,200 110,200 Compute the total increase in income if the departments with sales less than avoidable costs, as identified in part a, are eliminated 233,400 $ (4,400)
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