Lyons Company Consists of Two Divisions, a and B

Multiple Choice

Lyons Company consists of two divisions, A and B. Lyons Company reported a contribution margin of $50,000 for Division A, and had a contribution margin ratio of 30% in Division B, when sales in Division B were $200,000. Net operating income for the company was $25,000 and traceable fixed expenses were $40,000. Lyons Company's common fixed expenses were:

A) $85,000
B) $70,000
C) $45,000
D) $40,000