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Fixed costs are allocated common costs. If product line C is dropped, what will be the impact on operating profits? a. Operating loss will decrease
Fixed costs are allocated common costs. If product line C is dropped, what will be the impact on operating profits? a. Operating loss will decrease to ($35,000). b. Operating loss will decrease to ($5,000). c. Operating loss will increase to ($35,000). d. There would be no change in operating profits
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