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hw25.2 Discontinue a Segment Product Omega has revenue of $193,800, variable cost of goods sold of $113,800, variable selling expenses of $33,000, and fixed costs
hw25.2
Discontinue a Segment Product Omega has revenue of $193,800, variable cost of goods sold of $113,800, variable selling expenses of $33,000, and fixed costs of $61,800, creating an operating loss of $(14,800). a. Prepare a differential analysis as of January 15 to determine if Product Omega should be continued (Aiternative 1 ) or discontinued (Altemative 2), assuming fixed costs are unaffected by the decision. If an amount is zero, enter " 0 ". If required, use a minus sign to indicate a loss. b. Determine if Product Omega should be continued (Alternative 1) or discontinued (Aiternative 2) Step by Step Solution
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