Canon Company Has Two Sales Areas: North and South

Multiple Choice

Canon Company has two sales areas: North and South. During last year, the contribution margin in the North Area was $50,000, or 20% of sales. The segment margin in the South was $15,000, or 8% of sales. Traceable fixed expenses are $15,000 in the North and $10,000 in the South. During last year, the company reported total net operating income of $26,000.
-The total fixed expenses (traceable and common) for Canon Company for the year were:

A) $49,000
B) $25,000
C) $24,000
D) $50,000