Week 6 Written Assignment - Problems and Exercises

profileSharpguy
chapter_9_-_p3.xls
Home>Business & Finance homework help>Accounting homework help>Week 6 Written Assignment - Problems and Exercises

Template

P 09-03 Name:
Section:
Enter the appropriate amount or item in the shaded cells. Use the drop-down lists when available.
An asterisk (*) will appear next to an incorrect entry in the outlined cells.
Enter all values as positive amounts.
1.
How will URL Services be affected if the Custom Webpages Division is eliminated?
If the Custom Webpages Division is eliminated:
a. URL Services will 0
b. The total segment margin and operating income 0 by 0
c. The revised 0 will be 0
2.
How will URL Services be affected if the Design segment of Custom Webpages is eliminated?
If the Design segment of Custom Webpages is eliminated:
a. URL Services will 0
b. The total company's segment margin 0 by 0 to 0
c. Custom Webpages' segment margin 0 to 0
This is due to the elimination of the 0 of 0

Solution

P 23-03_Sol Name: SOLUTION
Section:
Enter the appropriate amount or item in the shaded cells. Use the drop-down lists when available.
An asterisk (*) will appear next to an incorrect entry in the outlined cells.
Enter all values as positive amounts.
1.
How will URL Services be affected if the Custom Webpages Division is eliminated?
If the Custom Webpages Division is eliminated:
a. URL Services will improve
b. The total segment margin and operating income increase by $ 2,000
c. The revised Operating income will be $ 77,000
2.
How will URL Services be affected if the Design segment of Custom Webpages is eliminated?
If the Design segment of Custom Webpages is eliminated:
a. URL Services will improve
b. The total company's segment margin increases by $ 26,000 to $ 131,000
c. Custom Webpages' segment margin increases to $ 24,000
This is due to the elimination of the segment loss of $ 26,000