Dickson Industries Has Two Divisions: the North Division and the South

Essay

Dickson Industries has two divisions: the North Division and the South Division. Information relating to the divisions for the year just ended is as follows:
$\begin{array}{lrr}&\text { North}&\text { South}\\\text { Units produced and sold}&40,000&50,000\\\text { Selling price per unit}&\$9&\$16\\\text { Variable costs per unit } & 4 & 6 \\\text { Direct fixed cost } & 148,000& 220,000\\\text { Common fixed cost } & 140,000& 140,000\end{array}$

Common fixed expenses have been allocated equally to each of the two divisions.
Required:
Prepare a segmented income statement for Dickson.