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The Following Information Is Available for Vegetable Company and Its

Question 92

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The following information is available for Vegetable Company and its two divisions, Carrots and Celery: The following information is available for Vegetable Company and its two divisions, Carrots and Celery:   Required: a. Compute the contribution margin for the Carrots Division. b. Compute the contribution controllable by the manager of the Celery Division. c. Compute the contribution by segment for the Celery Division. d. Compute the income before income taxes for the Vegetable Company. Required:
a. Compute the contribution margin for the Carrots Division.
b. Compute the contribution controllable by the manager of the Celery Division.
c. Compute the contribution by segment for the Celery Division.
d. Compute the income before income taxes for the Vegetable Company.

Correct Answer:

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a. $175,000 - ($70,000 + $20,000) = $85,...

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