HW ch 5.3 Toxaway Company is a merchandiser that segments its business into two divisionsCommercial and Residential.

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HW ch 5.3

Toxaway Company is a merchandiser that segments its business into two divisions—Commercial and Residential. The company’s accounting intern was asked to prepare segmented income statements that the company’s divisional managers could use to calculate their break-even points and make decisions. She took the prior month’s companywide income statement and prepared the absorption format segmented income statement shown below:

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