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Do It! Review 20-6 Gator Corporation manufactures several types of accessories. For the year, the gloves and mittens line had sales of $486,000, variable expenses
Do It! Review 20-6 Gator Corporation manufactures several types of accessories. For the year, the gloves and mittens line had sales of $486,000, variable expenses of $362,000, and fixed expenses of $141,000. Therefore, the gloves and mittens line had a net loss of $17,000. If Gator eliminates the line, $37,000 of fixed costs will remain. Prepare an analysis showing whether the company should eliminate the gloves and mittens line. (Enter negative amounts using either a negative sign preceding the number e.g. +45 or parentheses e.g. (45).) Net Income Continue EliminateIncrease (Decrease) Sales Variable costs Contribution margin Fixed costs Net income /(Loss) The analysis indicates that Gator should the gloves and mittens line. Click if you would like to Show Work for this question: Open Show Work NK TO TEXT
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