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D Question 18 Bellinger & Betts LLP has three models: X Y and Z. The following information is available: Model X Sales Revenue 564,000 Mariable

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D Question 18 Bellinger & Betts LLP has three models: X Y and Z. The following information is available: Model X Sales Revenue 564,000 Mariable Expenses $25,000 Contribution Margin $39.000 Fixed Expenses $14.000 Model Y $40,000 $13,000 $27.000 $14.000 Model z $21.000 $12.000 $9.000 $14,000 $13,000 $(5,000) Operating Income $25,000 Kloss Bellinger & Betts LLP is thinking of discontinuing mode Z because it is reporting an operating loss. All fixed costs are unavoidable. Assuming Bellinger & Betts LLP discontinues line 2 total fixed costs will remain unchanged, and the production and sales of model y will double. What effect will this have on operating income for Bellinger & Betts LLP? Increase by $12.000 Increase by $5,000 Increase by $18.000 Increase by $31.000 Previous

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