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15 8 points eBook Hint Marin Company makes several products, including canoes. The company reports a loss from its canoe segment (see below). All its
15 8 points eBook Hint Marin Company makes several products, including canoes. The company reports a loss from its canoe segment (see below). All its variable costs are avoidable, and $315,000 of its fixed costs are avoidable. Segment Income (Loss) Sales Variable costs Contribution margin Fixed costs Income (loss) $1,038,800 742,000 296,800 358,000 $ (61,200) (a) Compute the income increase or decrease from eliminating this segment. (b) Should the segment be continued or eliminated? Complete this question by entering your answers in the tabs below. Print References Required A Required B Compute the income increase or decrease from eliminating this segment. Segment Elimination Analysis Income Increase (Decrease) Continue Eliminate Sales $ 1,038,800 Variable costs 742,000 Contribution margin 296,800 0 Fixed costs 358,000 Income (loss) $ (61,200) $ 0 $ 61,200 Best A Required B >
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