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Path Remaining Time: 2 hours, 59 minutes, 30 seconds. Question Completion Status: QUESTION 13 The results of March 31, 20120 are presented below. Meme Knax
Path Remaining Time: 2 hours, 59 minutes, 30 seconds. Question Completion Status: QUESTION 13 The results of March 31, 20120 are presented below. Meme Knax Total 5,000 2,000 10,000 Tennessee, Inc., has three divisions: Nash, Memp, and Knox Nash Units sold 3,000 NOTE: $-Amounts are in (0001 Revenue $71,000 Less variable costs 32,000 Less direct fixed costs 14,000 Less allocated faxed costs 6,000 Net Income $19.000 $50,000 26,000 19,000 12.000 S.Z.000 $40,000 16,000 12.000 4000 $ 8.000 $161.000 74,000 45,000 22.000 $ 20.000 Al of the allocated costs will continue even if a division is discontinued. Tennessee allocates Indirect fired costs based on the number of units to be sold. Since the Memp division has a net loss, Tennessee feels that it should be discontinued. Tennessee feel if the division is closed, that sales at the Nash division will increase by 12%, and that sales at the Knox division wil stay the same. Instructions Present the analysis in a table ta) Prepare an analysis showing the effects of discontinuing the Memp division. b) Should Tennessee close the Memp division? DISCUSS why or why not - gi TTTT Paragraph Arial 3 (12pt) XD09 f Maps LE HSS I Path Woche: Click Save and Submit to save and submit. Click Save All Answers to save all ansur. Save All Answers Save and But
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