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kow [346]
3 years ago
15

Corbel Corporation has two divisions: Division A and Division B. Last month, the company reported a contribution margin of $46,4

00 for Division A. Division B had a contribution margin ratio of 35% and its sales were $243,000. Net operating income for the company was $36,800 and traceable fixed expenses were $51,000. Corbel Corporation's common fixed expenses were:
Business
1 answer:
diamong [38]3 years ago
5 0

Answer:

$5300

Explanation:

Contribution margin for Division B = Sales * Contribution margin ratio

= $243,000 * 20%

= $46,800

Total contribution margin = Division A + Division B

= $46,400 + $46,800

= $93,200

Contribution margin $93,200

Less : Traceable fixed expenses $51,100

Less : Common fixed expenses (plug) $5300

Net operating income $33,800

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