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A study has been conducted to determine if one of the departments in Larry's Electronics should be discontinued. The contribution margin in the department is

A study has been conducted to determine if one of the departments in Larry's Electronics should be discontinued. The contribution margin in the department is $50,000 per year. Fixed expenses charged to the department are $65,000 per year. It is estimated that $40,000 of these fixed expenses could be eliminated if the department is discontinued. If the department is discontinued, what would be the annual change in the company's overall net operating?

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