Question
Can someone please help me with the problem: The Kelsh Company has two divisions - North and South. The division have the following revenues and
Can someone please help me with the problem:
The Kelsh Company has two divisions - North and South. The division have the following revenues and expenses: North South Sales 900000 800000 Variable expenses 450000 300000 Traceable fixed expenses 260000 210000 Allocated common corporate expenses 240000 190000 Net operating income (loss) -50000 100000 | |
Management at Kelsh is pondering the elimination of North Division. If North Division were eliminated, | |
its traceable fixed expenses could be avoided. The total common corporate expenses would be unaffected. | |
Given these data, the elimination of North Division would result in an overall company net operating income of: |
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