Acompany is considering producing some new gameboy electronic games. based on past records, management believes that there is a 70 percent chance that each of these will be successful and a 30 percent chance of failure. market research may be used to revise these probabilities. in the past, the successful products were predicted to be successful based on market research 90 percent of the time. however, for products that failed, the market research predicted these would be successes 20 percent of the time. if market research is performed for a new product, what is the probability that the product will be successful if the market research indicates a failure? g

Vortex company operates a retail store with two departments. information about those departments follows. department a department b sales $ 800,000 $ 450,000 cost of goods sold 497,000 291,000 direct expenses salaries 125,000 88,000 insurance 20,000 10,000 utilities 24,000 14,000 depreciation 21,000 12,000 maintenance 7,000 5,000 the company also incurred the following indirect costs. salaries $36,000 insurance 6,000 depreciation 15,000 office expenses 50,000 indirect costs are allocated as follows: salaries on the basis of sales; insurance and depreciation on the basis of square footage; and office expenses on the basis of number of employees. additional information about the departments follows. department square footage number of employees a 28,000 75 b 12,000 50 required: 1. determine the departmental contribution to overhead and the departmental net income for department a and department b.