A segment of a business probably should be discontinued if

its contribution margin exceeds its controllable fixed costs and its common costs.

it cannot produce a contribution margin.

its common costs exceed its contribution margin.

it has a net loss.

Flag this Question

Question 210 pts

Contribution margin is calculated by

deducting fixed costs from revenue.

deducting variable costs and controllable fixed costs from revenue.

deducting variable costs and common costs from revenue.

deducting variable costs from revenue.