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Bonita Industries produces three versions of baseball bats: wood, aluminum, and hard rubber. A condensed segmented income statement for a recent period follows: Sales Variable
Bonita Industries produces three versions of baseball bats: wood, aluminum, and hard rubber. A condensed segmented income statement for a recent period follows: Sales Variable expenses Fixed expenses Net income (loss) Wood Contribution margin 240000 $580000 O $200000 O $60000 O $248000 O $270000 340000 75000 $165000 Aluminum Hard Rubber $340000 200000 140000 35000 $ 105000 $69000 $989000 58000 11000 22000 Total $(11000) 598000 391000 132000 $259000 Assume all of the fixed expenses for the hard rubber line are avoidable. What will be total net income if the line is dropped?
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