#7

Question 7 4 pts The David Walace Company is considering dengan Sudet vam that sucks up children's toys.due to continuine loses Data on the vacuum for the past year. Sa 15.000 $ 150.000 Variable expert 120.000 Contribution ang 30.000 Fred expenses 40.000 Net operating loss $110.000 Suck-it was discontinued, the David Wallace Company could avoid 58.000 per year in fod costs. The remainder of the feed costs not avaid Suppose that if such as dropped the production and tale of other David Wallace Company products would brease to an to generate a $16.000 increase in the contribution margin received from these other products Wall other conditions are the same the financial advantage disadvantage) from discontinuing the production and sale of Suck-It would be $14,000 $16.0001 2,0001 $28.000