The accountant of XYZ Company allocated support department costs between its two divisions. The information for each division is as follows: What is the operating income for Division A?
A)$200,000.
B)$120,000.
C)$105,000.
D)$15,000.

Question

The accountant of XYZ Company allocated support department costs between its two divisions. The information for each division is as follows:  What is the operating income for Division A?
A)$200,000. 
B)$120,000. 
C)$105,000. 
D)$15,000.

Quizplus · Accepted Answer

$200,000 - $80,000 - $15,000 = $105,000 
Div A sales - Div A cogs - Div A sup costs

The Accountant of XYZ Company Allocated Support Department Costs Between