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A company has threep Sales Variable expenses Contribution margin Fixed expenses Net loss $247000 143000 104000 130000 $ (26000) If this product line is eliminated,
A company has threep Sales Variable expenses Contribution margin Fixed expenses Net loss $247000 143000 104000 130000 $ (26000) If this product line is eliminated, 60% of the fixed expenses can be eliminated and the other 40% will be allocated to other product lines. If management decides to eliminate this product line, the company's net income will increase by $26000. increase by $26000 decrease by $26000. decrease by $104000
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