Ferrar Corporation has two major business segments: Consumer and Commercial. Data for the segments and for the company for March appear below: Sales revenues, Consumer$680,000 Sales revenues, Commercial$280,000 Variable expenses, Consumer$394,000 Variable expenses, Commercial$143,000 Traceable fixed expenses, Consumer$102,000 Traceable fixed expenses, Commercial$45,000 In addition, common fixed expenses totaled $210,000 and were allocated as follows: $122,000 to the Consumer business segment and $88,000 to the Commercial business segment. A properly constructed segmented income statement in a contribution format would show that the net operating income of the company as a whole is:
A. $276,000
B. $66,000
C. $(144,000)
D. $423,000
Answer: B
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