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14) From a financial perspective, you should eliminate a business segment which is losing money if: Its fixed costs exceed its contribution margin You shouldn't
14) From a financial perspective, you should eliminate a business segment which is losing money if:
Its fixed costs exceed its contribution margin
You shouldn't - it is never a good idea to eliminate a business segment
The fixed costs which can be eliminated are greater than the segment's contribution margin
Its fixed costs per unit are less than its variable costs per unit
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