=+On the basis of the following data, the general manager of Sole Mates Inc. decided to discontinue

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=+On the basis of the following data, the general manager of Sole Mates Inc. decided to discontinue Children’s Shoes because it reduced income from operations by $28,000.

What is the flaw in this decision?

Sole Mates Inc.

Product-Line Income Statement For the Year Ended August 31, 2010 Children’s Shoes Men’s Shoes Women’s Shoes Total Sales $170,000 $300,000 $500,000 $970,000 ________ _________ _________ _________ Costs of goods sold:

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Related Book For  book-img-for-question

Accounting

ISBN: 978-1111001346

23rd Edition

Authors: Carl S. Warren

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