Question
Lisah, Inc., manufactures golf clubs in three models. For the year, the Big Bart line has a net loss of $3,100from sales $201,000, variable costs
Lisah, Inc., manufactures golf clubs in three models. For the year, the Big Bart line has a net loss of $3,100from sales $201,000, variable costs $175,000, and fixed costs $29,100. If the Big Bart line is eliminated, $19,000of fixed costs will remain. Prepare analysis showing whether the Big Bart line should be eliminated.(Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)
Continue Eliminate Net Income
Increase (Decrease)
Sales
Variable costs
contribution margin
fixed costs
Net Income/ (loss)
The Big Bart product line should beeliminated or continued ?
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