Question

BC Company sells three products, X, Y, and Z. During October,
Product X had sales of $500,000; Product Y had sales totaling
$300,000; and Product Z reported sales of $200,000. ABC Company
as a whole reported total fixed costs of $443,000, a total
segment margin of $77,000, and a net income of $53,000.
The traceable fixed costs for Product X amounted to $80,000
during October and the traceable fixed costs for Product Z
were $60,000 in October.

Calculate the traceable fixed costs with Product Y
in October.

Answer 1

Step 1	Total Segment margin	77,000
	Less: Total Net income	(53,000)
	Common Fixed cost	24,000
Step2	Total Fixed cost	443,000
	Less: Common Fixed cost	(24,000)	Computed in step 1
	Traceable Fixed cost	419,000
Step 3	Traceable Fixed cost	419,000
	Less: traceable fixed cost for product X	(60,000)
	Less: traceable fixed cost for product Z	(80,000)
Final Answer	Traceable Foxed cost for Product Y	279,000