Using the data below for the Ace Guitar Company: A Region B Region
Sales $767,000 $413,000
Cost of goods sold 291,500 156,900
Selling expenses 184,100 99,100
Service department expenses
Purchasing $198,200
Payroll accounting 132,200
Allocate service department expenses proportional to the sales of each region. Determine the divisional income from operations for the A and B regions. For interim calculations, round percentages to one decimal place.
A Region $
B Region $

A Region $76,640

B Region $41,360

Explanation:

Calculation to Determine the divisional income from operations for the A and B regions.

First step is to find the Percentage of sales allocations:

Using this formula

Percentage of sales allocation= Sales amount/Total sales ×100

Let plug in the formula

A Region = $767,000 ÷($ $767,000+$413,000)×100

A Region=$767,000/$1,180,000 ×100

A Region= 0.65×100

A Region =65%

B Region =$413,000/($767,000+$413,000)×100

B Region=$413,000/$1,180,000 ×100

B Region=0.35×100

B Region=35%

Second step

Service department expenses=

Purchasing $198,200

Add Payroll accounting $132,200

=$330,400

Third step is the allocation of support department expenses for both A and B Region

A Region = 65% × $330,400 = $214,760

B Region=35%×$330,400=$115,640

Last step is to calculate for the Operating income of both region

A Region Operating Income = $767,000-$291,500-$184,100-$214,760

A Region Operating Income = $76,640

B Region Operating Income =$413,000-$156,900-$99,100-$115,640

B Region Operating Income =$41,360

Therefore tlthe divisional income from operations for the A and B regions will be :

A Region $76,640

B Region $41,360

the correct answer would be b, when, queen, calder hall and london.

explanation:

we always capitalize words when a paragraph or sentence is starting, when an important name is used, when a place is being written, or simply when a noun is used, etc. so in this sentence, sentence is starting from 'when', so it will be written in capital letters. secondly, queen is considered to be an important person, so it will also be written in capital letter. next, the name of the town is mentioned, i-e calder hall, which will also be written in capital letters. in the last,   city name is being used, 'london', which will also be written in capital letters. so option b is the most appropriate one.