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A guitar manufacturer is considering eliminating its electric guitar division because its $85.470 expenses are higher than its $79,630 sales. The company reports the following

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A guitar manufacturer is considering eliminating its electric guitar division because its $85.470 expenses are higher than its $79,630 sales. The company reports the following expenses for this division Unavoidable Expenses Cost of goods sold Direct expenses Indirect expenses Service department costs Avoidable Expenses $ 57,5ee 11, ese 599 1e, 2ee $ 1,950 2,6ee 1,580 Should the division be eliminated? (Any loss amount should be indicated with minus sign.) Electric Guitar Division is: Kept 79.340 Eliminated S Sales $ [ Expenses Cost of goods sold | Direct expenses Indirect expenses Service department costs Total expenses Net income (loss) Revenues from electric guitar division Avoidable expenses Revenues are greater than (less than) avoidable expenses by 57.500 13,000 3.190 11,7801 85,4706 .580 . Kept

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