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GDI Industries produces three types of plates: Ceramic, Glass, and Plastic. A condensed segmented income statement for a recent period follows: Segmented Income Statement Ceramic
GDI Industries produces three types of plates: Ceramic, Glass, and Plastic. A condensed segmented income statement for a recent period follows: Segmented Income Statement Ceramic Glass Plastic Total Sales $100,000 $125,000 $40,000 $265,000 Variable $50,000 $65,000 $29,000 $144,000 Expenses Contribution $50,000 $60,000 $11,000 $121,000 Margin Fixed Expenses $15,000 $20,000 $12,000 $47,000 Net Income $35,000 $40,000 ($1,000) $74,000 (Loss) Assume none of the fixed expenses for the Plastic line is avoidable. What will be total net income if the Plastic line is dropped? O 62,000 75,000 63.000 O 73,000 74,000
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