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EA8. L0 10.4 Party Supply is trying to decide whether or not to continue its costume segment. The information shown is available for Party Supply's
EA8. L0 10.4 Party Supply is trying to decide whether or not to continue its costume segment. The information shown is available for Party Supply's business segments. Assume that neither the Direct xed costs nor the Allocated common xed costs may be eliminated, but will be allocated to the two remaining segments. Costumes Party Supplies Floral Decorations Sales $160,000 $110,000 Variable costs 84,000 50,000 Contribution margin 76,000 60,000 Direct fixed costs 50,000 20,000 Allocated common fixed costs 30,000 25,000 Net income $ (4,000) $ 15.00 If costumes are dropped, what change will occur to prot
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