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Miscavage Corporation Has Two Divisions: the Beta Division and the Alpha

Question 370

Multiple Choice

Miscavage Corporation has two divisions: the Beta Division and the Alpha Division. The Beta Division has sales of $285,000, variable expenses of $147,600, and traceable fixed expenses of $68,800. The Alpha Division has sales of $595,000, variable expenses of $329,800, and traceable fixed expenses of $129,500. The total amount of common fixed expenses not traceable to the individual divisions is $130,200. What is the company's net operating income?


A) $204,300
B) $402,600
C) $74,100
D) $265,200

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