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please do all the requirements By closing down the Rhode Island store, Nunez can reduce overall corporate overhead costs by $42,000. Calculate Nunez's operating income
please do all the requirements
Nunez Corporation runs two convenience stores, one in Connecticut and one in Rhode tsland. Operating income for each store in 2020 is as follows: (Click the icon to viow the add-or-diop segments information.) EHA (Clek to view the operating income for the stores.) Read the requirgments. Requirement 1. By closing down the Rhode island store, Nunez can reduce overall corporate overhead costs by 542,000 . Calculate Nunez's operating income if it closes the Fhede isiand atore. I3 Maria Lopez's statoment about the effect of closing the Rhode lsland store correct? Explain. Begin by colculating Nunez's operating income it it closes the Phode Laland store. (Complete all inpot fields. Enter losses in revenues as a negative amount Entor a "Or if the cost is not relevint it the net effect is an operating loss enler the amount wih parentheses or a minus sign.) Get more help . Data table Corporation runs two convenience stores, one in Connecticut and one in Rhode Island. g income for each store in 2020 is as follows: ick to view the operating income for the stores.) Requirements 1. By closing down the Rhode Island store, Nunez can reduce overall corporate overhead costs by $42,000. Calculate Nunez's operating income if it closes the Rhode Island store. Is Maria Lopez's statement about the effect of closing the Rhode Island store correct? Explain. 2. Calculate Nunez's operating income if it keeps the Rhode Island store open and opens another store with revenues and costs identical to the Rhode Island store (including a cost of $18,000 to acquire equipment with a 1 -year useful life and zero disposal value). Opening this store will increase corporate overhead costs by $2,000. Is Maria Lopez's statement about the effect of adding another store like the Rhode Island store correct? Explain. Total operating costs t on operating income (loss) come for each store in 2020 is as follows: view the operating income for the stores.) qulate Nunez's ope 's statemer culating Nu More info The equipment has a zero disposal value. In a senior management meeting, Maria Lopez, the management accountant at Nunez Corporation, makes the following comment, "Nunez can increase its profitability by closing down the Rhode Island store or by adding another store like it - By closing down the Rhode Island store, Nunez can reduce overall corporate overhead costs by $42,000. Calculate Nunez's operating income if it closes the Rhode Island store. Is Maria Lopez's statement about the effect of closing the Rhode Island store correct? Explain.
- Calculate Nunez's operating income if it keeps the Rhode Island store open and opens another store with revenues and costs identical to the Rhode Island store (including a cost of $18,000 to acquire equipment with a 1-year useful life and zero disposal value). Opening this store will increase corporate overhead costs by $2,000. Is Maria Lopez's statement about the effect of adding another store like the Rhode Island store correct? Explain.
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