Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. question 7 the swifty transportation company uses

Question 7 The Swifty Transportation Company uses a responsibility reporting system to measure the performance...

50.1K

Verified Solution

Question

Accounting

image

Question 7 The Swifty Transportation Company uses a responsibility reporting system to measure the performance of its three investment centers: Planes, Taxis, and Limos. Segment performance is measured using a system of responsibility reports and return on investment calculations. The allocation of resources within the company and the segment managers' bonuses are based in part on the results shown in these reports. Recently, the company was the victim of a computer virus that deleted portions of the company's accounting records. This was discovered when the current period's responsibility reports were being prepared. The printout of the actual operating results appeared as follows. Determine the missing pieces of information below. Planes Taxis Limos Service revenue $498,800 Variable costs 5,505,300 299,600 Contribution margin 249,700 432,856 Controllable fixed costs 1,496,700 Controllable margin 84,000 188,656 Average operating assets 24,953,600 1,451,200 Return on investment 13 % 10 % Click if you would like to Show Work for this question: Open Show Work

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students