Gruner, Inc., manufactures golf clubs in three models. For the year, the Big Bart line has a

Question:

Gruner, Inc., manufactures golf clubs in three models. For the year, the Big Bart line has a net loss of $5,000 from sales $200,000, variable costs $175,000, and fixed costs $30,000. If the Big Bart line is eliminated, $20,000 of fixed costs will remain. Prepare an analysis showing whether the Big Bart line should be eliminated.