Use the data below for Coffee & Cocoa Company
(a)Determine the divisional income from operations for the three regions by allocating the service department expenses proportionally to the sales of the regions.
(b)Determine the increase or decrease in net income if Region C did not operate.??

Divisional Income

The earnings generated by a specific division or segment of a company, highlighting its financial performance.

Service Department Expenses

Expenses incurred by the support departments within a company that do not directly contribute to the production of goods or services but are necessary for operation.

Net Income

The amount of profit left over after all expenses and taxes have been subtracted from total revenue.