Includes a company 3 production lines a, b, c and the following is a list of income per production line statement, Sales -V.C LA 125000 50000 (30000) 20000 75000 (50000) 75000 (25000) 50000 C.M Fixed cost (29500) (1000) (500) (1000) (10000) (2000) (15000) (59000) 16000 Salaries (12500) (7500) (500) (2000) (6000) (500) (9000) (38000) 12000 (8000) (5500) (1000) (3000) (4000) (500) (6000) (28000) (8000) Declaration Water &elect depreciation Rent Insurance admi& gener Total fixed Cost. Net profit/loss And careful analysis of costs shows the following for the production line in the case of C close 1. Can be avoided salary, advertising, insurance and electricity completely. 2. Amortization and rents, and general administrative expenses can not be avoided. Required: Trade-off between closing or continuing for the C line?

Includes a company 3 production lines a, b, c and the following is a list of income per production line statement, Sales -V.C LA 125000 50000 (30000) 20000 75000 (50000) 75000 (25000) 50000 C.M Fixed cost (29500) (1000) (500) (1000) (10000) (2000) (15000) (59000) 16000 Salaries (12500) (7500) (500) (2000) (6000) (500) (9000) (38000) 12000 (8000) (5500) (1000) (3000) (4000) (500) (6000) (28000) (8000) Declaration Water &elect depreciation Rent Insurance admi& gener Total fixed Cost. Net profit/loss And careful analysis of costs shows the following for the production line in the case of C close 1. Can be avoided salary, advertising, insurance and electricity completely. 2. Amortization and rents, and general administrative expenses can not be avoided. Required: Trade-off between closing or continuing for the C line?