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Papago Company produces three versions of its most popular product: Small, Medium, and Large. A condensed segmented income statement for a recent period follows: Assume

Papago Company produces three versions of its most popular product: Small, Medium, and Large. A condensed segmented income statement for a recent period follows:

Assume all of the fixed expenses for the Large line are avoidable. What will be total net income if the line is dropped?

  • A : $250,000

    B : $280,000
  • C : $206,000

  • D : $210,000

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