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Hall Corporation runs two stores, one in Medfield and one in Oakland. Operating income for each store in ollows: (Click the icon to view the

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Hall Corporation runs two stores, one in Medfield and one in Oakland. Operating income for each store in ollows: (Click the icon to view the operating income.) Data Table it has zero disposal value. Read the Data table Requir Should legative arenth Medfield Oakland Store Store $ 2,250,000 $ 1,550,000 1,150,000 200,000 1,290,000 145,000 Revenues Operating costs Cost of goods sold Variable operating costs (labor, utilities) Lease rent (renewable each year) Depreciation of equipment Allocated corporate overhead Total operating costs 138,000 163,000 Reveny Operati Cos 49,000 81,000 41,500 81,000 Vari 1,618,000 1.720,500 Lea Operating income (loss) $ 632,000 $ (170,500) Dep Alld Td Print Done ffect nent has zero disposal value. equirements. Requirements 1. By closing down the Oakland store, Hall can reduce overall corporate overhead costs by $89,000. Should Hall Corporation close down the Oakland store? 2. Instead of closing down the Oakland store, Hall Corporation is thinking of opening another store with revenues and costs identical to the Oakland store (including a cost of $40,000 to acquire equipment with a 1-year useful life and zero disposal value). Opening this store will increase corporate overhead costs by $13,000. Should Hall Corporation open another store like the Oakland store? Explain. Print Done Hall Corporation runs two stores, one in Medfield and one in Oakland. Operating income for each store in 2020 is as follows: B Click the icon to view the operating income.) The equipment has zero disposal value. Read the requirements Requirement 1. By closing down the Oakland store, Hall can reduce overall corporate overhead costs by $89,000. Should Hall Corporation close down the Oakland store? (Complete all input fields. Enter losses in revenues as a negative amount. Enter a "0" if the cost is not relevant. If the net effect is an operating loss enter the amount with parentheses or a minus sign.) (Loss in Revenues) Savings in Costs from Closing Oakland Store Revenues Operating costs Cost of goods sold Variable operating costs (labor, utilities) Lease rent (renewable each year) Depreciation of equipment Allocated corporate overhead Total operating costs Effect on operating Income (loss)

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