Carter Industries Has Two Divisions: the West Division and the East

Multiple Choice

Carter Industries has two divisions: the West Division and the East Division. Information relating to the divisions for the year just ended is as follows:
$\begin{array}{lrr}&\text { West}& \text { East }\\ \text {Units produced and sold } &30,000&40,000\\ \text {Selling price per unit } &\$8&\$15\\ \text { Variable costs per unit } &3&15\\ \text { Direct fixed cost } &48,000&110,000\\ \text { Common fixed cost } &40,000&40,000\\\end{array}$

Common fixed expenses have been allocated equally to each of the two divisions. Carter's segment margin for the West Division is:

A) $150,000.
B) $102,000.
C) $30,000.
D) $110,000.