60.1K

Verified Solution

Link Copied!

hi is my answer for the question correct?

Fashionisto Incorporated is an upscale clothing store In New York City and London. Each store has two maln departments, Men's Apparel and Women's Apparel. Marle Phelps, Fashlonisto's CFO, wants to use strateglc performance measurement to better understand the company's financlal results. She has declded to use the profit center method to measure performance and has gathered the following Informatlon about the two stores and the two departments of the New York City store: Required: 1. Using this Information, prepare a contribution Income statement for Fashionisto. \begin{tabular}{|c|c|c|c|c|c|c|c|c|} \hline & & combined compi & llocated & london & new york & not allocated & mens & womens \\ \hline sales & & $4,100,000 & $0 & $1,640,000 & $2,460,000 & $0 & $1,640,000 & $2,460,000 \\ \hline \multicolumn{9}{|l|}{ vari } \\ \hline cogs & & $3,066,800 & $0 & $852,800 & $2,214,000 & $0 & $738,000 & $1,476,000 \\ \hline operaitng & & $1,738,400 & $0 & $590,400 & $1,148,000 & $0 & $360,800 & $787,200 \\ \hline total vari & & $4,805,200 & $0 & $1,443,200 & $3,362,000 & $0 & $1,098,800 & $2,263,200 \\ \hline cm & & $705,200 & $0 & $196,800 & $902,000 & $0 & $541,200 & $196,800 \\ \hline \multicolumn{2}{|c|}{ traceable + contrullable } & $280,000 & $56,000 & $112,000 & $112,000 & $42,000 & $126,000 & $112,000 \\ \hline \multicolumn{2}{|c|}{ traceable + uncontruable } & $250,000 & $25,000 & $125,000 & $100,000 & $125,000 & $87,500 & $37,500 \\ \hline \multicolumn{2}{|c|}{ segmental marign } & $1,235,200 & $81,000 & $40,200 & $1,114,000 & $167,000 & $327,700 & $47,300 \\ \hline \multicolumn{2}{|c|}{ common fixed costs } & $100,000 & & & & & & \\ \hline ni & & $1,335,200 & & & & & & \\ \hline \end{tabular}

Answer & Explanation Solved by verified expert

See Answer