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Cross Training Golf Shoes Running Shoes Shoes 2 Fixed costs: $90,500 00 $119,250.00 $126,500.00 3 Cost of goods sold 4 ng and administrative expenses 83,000.00
Cross Training Golf Shoes Running Shoes Shoes 2 Fixed costs: $90,500 00 $119,250.00 $126,500.00 3 Cost of goods sold 4 ng and administrative expenses 83,000.00 94,600.00 115,750.00 These fixed costs are used to support all three product lines. In addition, you have determined that the inventory is negligible. The management of the company has deemed the profit performance of the running shoe line as unacceptable. As a result, it has decided to eliminate the running shoe line. Management does not expect to be able to increase sales in the other two nes. However, as a result of eliminating the running shoe line, management expects the profits of the company to increase by $142,000
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