Bonniwell Corporation Has Two Divisions: the Delta Division and the Alpha

Multiple Choice

Bonniwell Corporation has two divisions: the Delta Division and the Alpha Division. The Delta Division has sales of $620,000, variable expenses of $359,600, and traceable fixed expenses of $229,200. The Alpha Division has sales of $820,000, variable expenses of $541,200, and traceable fixed expenses of $172,900. The total amount of common fixed expenses not traceable to the individual divisions is $122,000. What is the company's net operating income?

A) $539,200
B) $15,100
C) $137,100
D) $417,200