Assume a company has two divisions, A and B. The company’s overall sales, overall contribution margin ratio, common fixed expenses, and net operating income are $500,000, 48%, $50,000, and $10,000, respectively. If Division B has a segment margin of $(20,000), then what is the segment margin for Division A?

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03-10-2022
Business

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Assume a company has two divisions, A and B. The company’s overall sales, overall contribution margin ratio, common fixed expenses, and net operating income are $500,000, 48%, $50,000, and $10,000, respectively. If Division B has a segment margin of $(20,000), then what is the segment margin for Division A?

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