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Gion Company is considering eliminating its Windows division, which reported a loss for the prior year of $103.000 as shown below. Segment Income (Loss) Sales
Gion Company is considering eliminating its Windows division, which reported a loss for the prior year of $103.000 as shown below. Segment Income (Loss) Sales Variable costs $ 1,128,000 993,000 1 Contribution margin. 135,000 Fixed costs 238,000 $ (103,000) Help Save & Income (loss) If the Windows division is dropped, all of its variable costs are avoidable, and $154,700 of its fixed costs are avoidable. The impact on Gion's operating income from eliminating this business segment would be: Multiple Choice $154,700 increase $154,700 decrease $18,900 decrease $19,700 decrease $19,700 increase D
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