#6

Brevard Industries produces two products. Information about the products is as follows: The company's fixed costs totaled $70,000, of which $15,000 can be directly traced to Product 1 and $40,000 can be directly traced to Product 2 The effect on the firm's profits if Product 2 is dropped would be a: Multiple Choice $10,000 increase $35,000 increase. $35,000 decrease. $10,000 decrease. Carter Industries has two divisions. the West Division and the East Division. Information relating to the divisions for the year just ended is as follows: Common fixed expenses have been allocated equally to each of the two divisions. Carter's segment margin for the West Division is Multiple Choice $258,000 $197,000 $43,000. $205,000