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A segment has the following data: Sales $640,000 Variable costs 226,000 Fixed costs (marketing) 125,500 Fixed overhead cost 200,000 What will be the incremental effect
A segment has the following data:
Sales $640,000
Variable costs 226,000
Fixed costs (marketing) 125,500
Fixed overhead cost 200,000
What will be the incremental effect on net income if this segment is eliminated, assuming the fixed costs will be allocated to profitable segments?
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