Answer:
$123,700
Explanation:
Calculation for the amount of the common fixed expense not traceable to the individual divisions
Using this formula
Common fixed expense not traceable= Total segment margin - Net operating income
Where,
Total segment margin =($86,100 +$50,300)
Net operating income=$12,700
Let plug in the formula
Common fixed expense not traceable= (86,100+50,300) - 12,700
Common fixed expense not traceable= 136,400 - 12,700
Common fixed expense not traceable
= 123,700
Therefore the amount of the common fixed expense not traceable to the individual divisions will be $123,700
