Question
Cookbook Travel Book Classics Sales $65,000 $100,000 $23,000 Variable costs 37,000 53,000 14,000 Contribution margin 28,000 47,000 9,000 Fixed costs: Avoidable 7,000 17,000 5,000 Unavoidable
| Cookbook | Travel Book | Classics | ||
| Sales | $65,000 | $100,000 | $23,000 | |
| Variable costs | 37,000 | 53,000 | 14,000 | |
| Contribution margin | 28,000 | 47,000 | 9,000 | |
| Fixed costs: | ||||
| Avoidable | 7,000 | 17,000 | 5,000 | |
| Unavoidable | 8,000 | 14,000 | 5,400 | |
| Operating income | $13,000 | $16,000 | $(1,400) |
Giant Company is thinking of dropping Product C because it is reporting a loss. Assuming Giant drops Product C and does NOT replace it, operating income will________.
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Investments Unlimited A Novel About DevOps Security Audit Compliance And Thriving In The Digital Age
Authors: Helen Beal, Bill Bensing, Jason Cox, Michael Edenzon, John Willis
1st Edition
1950508536, 978-1950508532
