The High School Musical Company has two divisions - Troy and Gabriella, In the previous year. Troy generated sales revenue of $300.000 and had total traceable costs of $80,000 $20,000 of which was fixed. Gabriella generated a segment margin of $30,000. Common fixed costs totaled $170,000 $50,000 of this amount was allocated to the Gabriella division, Management is considering the elimination of the Gabriella division since it has shown an operating loss for the past several years. If Gabriella is dropped, the company would open a new division in its place. The new division would cenerate $175.000 in sales revenue and have a contribution margin percentage equal to 60%. The new division's traceable fixed costs would total $25,000. In addition, it is projected that opening the new division would increase Troy's sales volume by 3%. Which of the following statements is correct with regard to the above information (each statement is independent) is independent) approach A. Total traceable costs for the new division is $25,000 B. The company's operating Income will differ depending on if the income statement is prepared using the traditional approach or the contribution margin C. Troy's contribution margin percentage increases by 3% if Gabriella is dropped and replaced with the new division D. The company's common fixed costs would decrease by $50,000 ir Gabriella is dropped E. I Gabriella is dropped and replaced with the new division, the company's operating income would increase by $57,200.

Alpha company uses the periodic inventory system for purchase & sales of merchandise. discount terms for both purchases & sales are, 2/10, n30 and the gross method is used. unless otherwise noted, fob destination will apply to all purchases & sales. the value of inventory is based on periodic system. on january 1, 2016, beginning inventory consisted of 350 units of widgets costing $10 each. alpha prepares monthly income statements. the following events occurred during the month of jan.: dateactivitya. jan. 3purchased on account 350 widgets for $11 each. b.jan. 5sold on account 400 widgets for $30 each. paid freight out with petty cash of $150.c. jan. 10purchased on account 625 widgets for $12 each. d.jan. 11shipping cost for the january 10 purchased merchandise was $400 was paid with a cheque by alpha directly to the freight company. e.jan. 12returned 50 widgets received from jan. 10 purchase as they were not the correct item ordered. f.jan. 13paid for the purchases made on jan. 3.g. jan. 21sold on account 550 widgets for $30 each. paid freight out with petty cash of $250.h. jan. 22authorize credit without return of goods for 50 widgets sold on jan. 21 when customer advised that they were received in defective condition. i.jan. 25received payment for the sale made on jan. 5.j. jan. 26paid for the purchases made on jan. 10.k. jan. 31received payment for the sale made on jan. 21.use this information to prepare the general journal entries (without explanation) for the january events. if no entry is required then enter the date and write "no entry required."