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Deprecated Deprecated
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Posts: 2784
7 years ago
Leeds Services provides event management services. The company has three employees, each assigned to specific customers. The company considers each employee's territory as a business segment. The following data relate to its three segments for the month of June:

   Matt   Andrea   Doug
Sale Revenue   $6,000   $11,800   $14,350
Variable costs   $5,900   $5,200   $11,500

The business segments had the following number of customers: Matt, 26 ; Andrea, 29; and Doug, 35. The total fixed costs for the month of June amounts to $3,400.  Which business segment was the most profitable?
A) Andrea
B) Doug
C) Matt
D) Both Matt and Andrea are equally profitable
Textbook 
Horngren's Financial & Managerial Accounting, The Financial Chapters

Horngren's Financial & Managerial Accounting, The Financial Chapters


Edition: 5th
Authors:
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TanksTanks
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7 years ago
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Deprecated Author
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7 years ago
This was certainly a tough question, loving the expertise
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