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2) The most recent monthly income statement for Dolphin Stores is given below Total Store Store l1 2,000,000 $1,200,000 $800,000 1200,000 840 000 360 000
2) The most recent monthly income statement for Dolphin Stores is given below Total Store Store l1 2,000,000 $1,200,000 $800,000 1200,000 840 000 360 000 Variable expenses.. Contribution margin. Traceable fixed expenses.. Segment margin 800,000 360,000 440,000 180,000 400,000 40,000 260,000 300,000 180,000 120,000 40.000) $140.000 100.000 Net operating income lphin is considering closing Store I. If Store l is closed, one-fourth of its traceable fixed expenses would continue unchang in sales in Store II. Dolphin allocates common fixed expenses on the basis of sales dollars. ed. Also, the closing of Store I would result in a 20% decrease Required: Compute the overall increase or decrease in Dolphin's net operating income if Store I is closed
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