Answer:
Net Income Commercial Division $ 159,890
Net Income Residential Division $ 123,650
Explanation:
Jersey Coast Construction Company
Divisional Income Statements
For the year ended June 30, 20Y8:
Commercial Division Residential Division
Sales $1,354,500 743,780
Cost Of Goods Sold $912,250 423,675
Gross Profit $ 422,250 320,105
Less
Service Deptt Charges $112,560 67,830
Administrative Charges$149,800 128,625
Net Income $ 159,890 $ 123,650
**the data given in the question however has been mixed up some how**
The actual data in the book is as follows.
Cost of goods sold:
Commercial Division $912,250
Residential Division 423,675
Administrative expenses:
Commercial Division $149,800
Residential Division 128,625
Net sales:
Residential Division 743,780
Commercial Division $1,354,500
Service department charges:
Commercial Division $112,560
Residential Division 67,830
Note:The given solution is of the data given above.
