15) A company has two different products that are sold in different markets. Financial data are as follows Product A Product B Total 9.400 $26,40 (8,000) (9,700(17,700 ariable cost ixed cost (allocatecd Assume that fixed costs are all unavoidable and that dropping one product would not impact sales of the other. If Product B is dropped, A) increases by $2,000 B) increases by $300 C) decreases by $2,000 D) decreases by $300 what would be the impact on total operating income of the company? 16) Which of the following statements describes a scenario when management should consider dropping a business division? A) The division has been consistently reporting an operating loss B) The division's avoidable fixed costs are less than its contribution margin. C) The division's avoidable fixed costs are greater than its contribution margin. D) The division's unavoidable fixed costs are greater than its operating loss. 17) Healthier Living Company manufactures two products-toaster ovens and bread machines. The following data are available: Toaster Ovens Bread Machines les ariable costs Healthier Living can manufacture six toaster ovens per machine hour and four bread machines per machine hour. Healthier Living's production capacity is 2,000 machine hours per month. What is the contribution margin per machine hour for bread machines? A) $60 B) $90 C) $360 D) $540 18) Shasta Company is trying to decide whether to continue to manufacture a particular component or to buy the component from an outside supplier. Which of the following is irrelevant with respect to this decision? A) the quality of the component purchased from the outside supplier B) the outside supplier's ability to deliver the component on a timely basis C) the alternative uses of the facilities currently being used to manufacture the component D) the unavoidable fixed manufacturing costs associated with the manufacture of the component