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can someone please help? I started and then I got stuck :( And can you please, please share the work. I really want to know
can someone please help? I started and then I got stuck :(
And can you please, please share the work. I really want to know how to do it.
A guitar manufacturer is considering eliminating its electric guitar division because its $107,520 expenses are higher than its $102,200 sales. The company reports the following expenses for this division. Unavoidable Expenses Cost of goods sold Direct expenses Indirect expenses Service department costs Avoidable Expenses $ 80,000 11,050 890 10,000 $1,950 2,000 1,630 Should the division be eliminated? (Any loss amount should be indicated with minus sign.) Electric Guitar Division is: Kept Eliminated Sales $ 102,200 Expenses: Direct expenses 1,950 Indirect expenses 2,000 Service department costs 1,630 80,000 80,000 5,580 Cost of goods sold Total expenses Net income (loss) Revenues from electric guitar division Avoidable expenses Revenues are greater than (less than) avoidable expenses by KeptStep by Step Solution
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