Clemmens Corporation Has Two Major Business Segments: Consumer and Commercial

Multiple Choice

Clemmens Corporation has two major business segments: Consumer and Commercial. Data for the segments and for the company for August appear below: In addition, common fixed expenses totaled $265,000 and were allocated as follows: $135,000 to the Consumer business segment and $130,000 to the Commercial business segment. A properly constructed segmented income statement in a contribution format would show that the segment margin of the Consumer business segment is:

A) $152,000
B) $76,000
C) $17,000
D) $179,000