Question
Division B has a divisional contribution of $250,000. After the allocation of $180,000 of common costs,it is making a profit of $70,000. Assuming all other
Division B has a divisional contribution of $250,000. After the allocation of $180,000 of common costs,it is making a profit of $70,000. Assuming all other factors are equal, if the division were closed, the effect on the overall profit of the organization would be:
a. a decrease of $180,000.
b. a decrease of $250,000.
c. an increase of $70,000.
d. an increase of $180,000.
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Statistics Unlocking The Power Of Data
Authors: Robin H. Lock, Patti Frazer Lock, Kari Lock Morgan, Eric F. Lock, Dennis F. Lock
1st Edition
0470601876, 978-0470601877
