Divisional Income Statements with Support Department Allocations Horton Technology has two divisions, Consumer and Commercial...

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Divisional Income Statements with Support Department Allocations Horton Technology has two divisions, Consumer and Commercial and two corporate support departments, Tech Services and Purchasing. The corporate penses for the year ended December 31, 2017, are as follows: $1,170,000 Tech Services Department Purchasing Department Other corporate administrative expenses 450,000 800,000 Total expense $2,420,000 The other corporate administrative expenses include officers' salaries and other expenses required by the corporation. The Tech Services Department willocatus costs to the divisions based on the number of computers in the department, and the purchasing Department allocates costs to the divisions based on the number of purchase orders for each department. The services used by the two divisions are as follows: Consumer Division Tech Services 1.100 computers 700 Purchasing 4,000 purchase orders 8,000 12,000 purchase orders Commercial Division Total 1.800 computers The support department allocations of the Tech Services Department and the Purchasing Department are considered controllable by the divisions Corporate ministrative expenses are not considered controllable by the divisions. The revenues, cost of goods sold, and operating expenses for the two divisions was followed Consumer Commercial $33,250,000 Revenues 515,500,000 Consumer Commercial Revenues Cost of goods sold Operating expenses $15,500,000 10,000,000 3,000,000 $33,250,000 15,800,000 1,750,000 Prepare the divisional income statements for the two divisions. Round your interim calculations to three decimal places, if required Horton Technology Divisional Income Statements For the Year Ended December 31, 2017 Consumer Division Commercial Division Operating income before support department allocations Support department allocations: Total support department allocations

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