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Homework: HW - Chapter 25 Question 4, 525-4 (similar to) HW Score: 34.8%, 4.18 of 12 points O Point: 0 of 1 Part 1 of

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Homework: HW - Chapter 25 Question 4, 525-4 (similar to) HW Score: 34.8%, 4.18 of 12 points O Point: 0 of 1 Part 1 of 2 Save Mia Fashions operates three departments Men's, Women's, and Accessories Departmental operating income data for the third quarter of 2018 are a fos (Cack the icon to view the data) (Click the icon to view additonal information) Mia Fashions drops a department it will not incur these fixed costs. Under these circumstances, should Mis Fashions drop any of the departments? Give your reasoning Begin by completing the following analysis to determine the increase or decrease in operating income from dropping the Accessories Department, the only Department showing an operating loss this quarter (Er decreases its with a parentheses or minus sign) Mia Fashions Data table Analysis of Dropping the Accessories Department Expected decrease in revenues Expected decrease in cost Expected decrease invariable costs income istement Expected decreased costs Expected decrease in total costs For the Quarter Ended September 30, 2018 Department Women's 35,000 Mes Tatar operating income 1 100,000 $ 62.000 29,000 More info 47,000 25.000 $4,000 14.000 21,000 10.000 Assume that the feed costs assigned to each department include only t costs of the department Salary of the department's manager Cost of advertising directly related to that department Hel Net Sales Revenue Variable Costs Contribution Margin Fixed Costs Operating income (Loss) Accessories 104.000 8.000 00 25.000 (10.000) 268.000 175.000 80,000 1000 23,000

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