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Homepage - Minne... E-services - Minnes... > Cengage D2L Brightspace Lo... F launchPad VitalSource Booksh... YouTube pollution National. Keep-or-Drop Decision Petoskey Company produces three products:

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Homepage - Minne... E-services - Minnes... > Cengage D2L Brightspace Lo... F launchPad VitalSource Booksh... YouTube pollution National. Keep-or-Drop Decision Petoskey Company produces three products: Alanson, Boyne, and Conway. A segmented income statement, with amounts given in thousands, follows: Alanson Boyne Conway Total Sales revenue $1,280 $185 $300 $1,765 Less: Variable expenses 1,115 45 225 1,385 Contribution margin $165 $140 $75 $380 Less direct fixed expenses: Depreciation SO 15 Salaries 95 85 Segment margin $20 $40 Direct fixed expenses consist of depreciation and plant Supervisory salaries. All depreciation on the equipment is dedicated to the product lines. None of the equipment can be sold. Assume that each of the three products has a different supervisor whose position would be eliminated if the associated product were dropped. Required: Conceptual Connection: Estimate the impact on profit that would result from dropping Conway. Enter amount in full, rather than in thousands. For example, "15000" rather than "15" Increase Check My Work 2 more Check My Work uses remaining Previous Next > @ 0 904 10/21 Segment margin $20 $40 $(34) $26 Direct fixed expenses consist of depreciation and plant supervisory salaries. All depreciation on the equipment is dedicated to the product lines. None of the equipment can be sold. Assume that each of the three products has a different supervisor whose position would be eliminated if the associated product were dropped. Required: Conceptual Connection: Estimate the impact on profit that would result from dropping Conway. Enter amount in full, rather than in thousands. For example, "15000" rather than "15". Increases Should Petoskey keep or drop Conway? Drop Feedback Check My Work Look at contribution margin and adjust for dropping product line. Consider the sunk cost and that it is not relevant. Check My Work 2 more Check My Work uses remaining Previous Next o e @ 9 D

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