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answer asap Duvel Ltd. currently manufactures three products: X,Y, and Z. Results from the previous fiscal year for these products are presented below: Duvel is
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Duvel Ltd. currently manufactures three products: X,Y, and Z. Results from the previous fiscal year for these products are presented below: Duvel is considering eliminating Product Y in order to focus their efforts on its other two products. The discontinuation of Product Y is expected to cause the following changes: The discontinuation of Product Y is expected to cause the following changes: A 19% increase in the production and sales of Product X A 5% decrease in the production and sales of Product Z 67% of the fixed costs of Product Y will be eliminated What is the incremental change in income of the company if Product Y is discontinued? Your Step by Step Solution
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