Acc102 Principles of Managerial Accounting: Final Project - Gameland Village

Acc102 Principles of Managerial Accounting
Final Project (Version 1)

3. Responsibility income statement-preparation (20 points)
Gameland Village is segmented into two sales departments: software and video games. During April, these two departments reported the following operating results:
Software Video Games
Sales $400,000 $200,000
Variable cost (as a percentage of sales) 65% 56%
Traceable fixed costs $20,000 $16,000

In addition, fixed costs common to both departments amounted to $42,000.
Complete the following segmented income statement for Gameland Village. Follow the contribution margin approach, and show percentages as well as dollar amounts. Conclude your income statement with the company’s income from operations.
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