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Crane Company produces three versions of baseball bats: wood, aluminum, and hard rubber. A condensed segmented income statement for a recent period follows: Wood Aluminum
Crane Company produces three versions of baseball bats: wood, aluminum, and hard rubber. A condensed segmented income statement for a recent period follows: Wood Aluminum Hard Rubber Total Sales $630000 $280000 $63000 $973000 Variable expenses 395000 170000 58000 623000 Contribution margin 235000 110000 5000 350000 Fixed expenses 75000 35000 22000 132000 Net income (loss) $160000 $75000 $(17000) $218000 Assume all of the fixed expenses for the hard rubber line are avoidable. What will be total net income if the line is dropped? O $235000 O $170000 O $213000 O $145000
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