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Keep-or-Drop Decision Petoskey Company produces three products: Alanson, Boyne, and Conway. A segmented income statement, with amounts given in thousands, follows: Alanson Boyne Conway Total

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Keep-or-Drop Decision Petoskey Company produces three products: Alanson, Boyne, and Conway. A segmented income statement, with amounts given in thousands, follows: Alanson Boyne Conway Total Sales revenue $1,280 $185 $390 $1,855 Less: Variable expenses 1,115 45 312 1,472 Contribution margin $165 $140 $78 $383 Less direct fixed expenses: Depreciation 50 15 11 76 Salaries 95 B5 92 272 Segment margin 520 $40 $(25) $35 Directed expenses consist of depreciation and plant supervisory tries. Al depreciation on the equipment is dedicated to the product lines. Non of the equipment can be sold Assume that each of the three products has a different supervisor whose position would be eliminated the mediated product were dropped Required: Conceptual Connection Estimate the impact on profit that would result from eropaino Corway. Enter amount in full, rather than in thousands. For example, "150 rather than Increase 33,000 X Should Petoskey keep or drop Conway Drop

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