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Ditferential Anabysis for a Discontinued Product A condensed income statement by product line for Crown Eeverage tne indicated the following for King cola for the
Ditferential Anabysis for a Discontinued Product A condensed income statement by product line for Crown Eeverage tne indicated the following for King cola for the past year: If is essimated that 15% of the cont of goods sold represents fixed factory overhead costs and that 19% of the operating expenses are foced. Since king Cola is only one of many products, the fixed costs will not be materialicy affected if the product is discontinued. a. Prepare a differential analych, dated March 3, to determine whether King Cols should be continued (Altematwe 1) or discontinued (Alternative 2 ). If an amiount is. rero, enter cero 0, Use a minus sign to indicate a less
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