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In dropping an unprofitable product or segment decisions, common (shared) fixed costs of an unproductive segment will be avoldatile while dirnet foxed conts wierit be
In dropping an unprofitable product or segment decisions, common (shared) fixed costs of an unproductive segment will be avoldatile while dirnet foxed conts wierit be aveidable if that segment is dropped, True: False 3 points If a business is considtering boying a new vehicle, the cost of the old vehicle is relevant to the business decision. True False 3 points Sundial Company manufactures and selis watches for $42 each. Tick-Tock Company has offered Sundlal $30 per watch for a one-time order of 5900 watches. The total manufacturing cost per watch is $28 per unit and consists of variable costs of $20 per watch and foxed overhead costs of $8 per watch. Assume that 5 undial has excess capacity and that the special pricing order would not adversely affect regular sales. What is the change in operating income that would result from accepting the special sales order? increase of $59,000 decrease of 559.000 increase of $177,000 decrease of $177,000
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