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A segment has the following data: Sales $780000 Variable expenses 340000 Fixed expenses 550000 What will be the incremental effect on net income if this
A segment has the following data:
| Sales | $780000 |
| Variable expenses | 340000 |
| Fixed expenses | 550000 |
What will be the incremental effect on net income if this segment is eliminated, assuming the fixed expenses will be allocated to profitable segments?
|
| $340000 increase |
|
| $440000 decrease |
|
| $5667 decrease |
|
| Cannot be determined from the data provided |
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