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can someone help with this accounting questions? There are n this worksheet. Make sure you scro-ork -| work in the space provided. Dropping Product Lines

can someone help with this accounting questions?

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There are n this worksheet. Make sure you scro-ork -| work in the space provided. Dropping Product Lines Slow Shop, a small convenience store, has food and beverage sales, and also sales of books and newspapers. An income statement for a recent month is shown below: Food and Books and Beverage Newspapers TOTAL Sales $ 140,000 $ 2 2,000 $ 162 .000 Variable cost 84,000 17,500 101.500 Fixed cost 32,000 12,000 44,000 Net income $ 24,000 $ 17,500) $ 16,500 The fixed cost is monthly rent for the building which is allocated to the two departments based on square feet of floor space. Management is considering dropping the books and newspapers lines to increase profits. If books and newspapers are eliminated, the space could be used to add more food and beverage products. This is expected to increase sales of food and beverage products by $27,000. If Slow Shop drops books and newspapers, it will b- Type "Better off' or "Worse ofl" Enter your answer in this cell M in this cell COMPUTATIONS

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