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Homework: Chapter Ten Homework Question 3, TIM10-3 (book/static) Part 1 of 4 Leslie Rodriguez 04/06/2212AM HW Score: 20%, 2 of 10 pos O Paints:
Homework: Chapter Ten Homework Question 3, TIM10-3 (book/static) Part 1 of 4 Leslie Rodriguez 04/06/2212AM HW Score: 20%, 2 of 10 pos O Paints: 0 of 1 Save McCollum Company manufactures two products. Both products have the sa Previous question volume of sales is equivalent. However, due to the diference in production process Produd & hgw variable costs and Product B has higher foxed costs. Management is considering dropping Product B because that product line has an operating loss (Click the icon to view the income statement.) 9. If fixed costs cannot be avoided, should McCollum drop Product B? Why or why not? 10. If 50% of Product B's floxed costs are avoidable, should McCollum drop Product B? Why or why not? Data table 9. If fixed costs cannot be avoided, should McCollum drop Product B? Why or why not? (Use a minus sign or Expected decrease in revenue Expected decrease in total variable costs Expected increasel decrease) in operating income McCullum Company Income Statement Month Ended June 30, 2024 Total Product A Product Net Sales Revenue 150.000 26000 7500 00000 5600 Varable Costs Contribution Margin 60.000 0000 50.000 1.000 Fixed Costs 10.000 11,000 S 200 Operating IncomeLoss) M31M 450620
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