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PLEASE HELP - 30 MINUTES LEFT!! THANK YOU IN ADVANCE!! Question 8 2.58 points Save Answer Linen King is considering eliminating its economy linen division,
PLEASE HELP - 30 MINUTES LEFT!! THANK YOU IN ADVANCE!!
Question 8 2.58 points Save Answer Linen King is considering eliminating its economy linen division, which reported an operating loss for the recent year of $800. The division sales for the year were $325,000 and the variable costs were $154,800. The fixed costs of the division were $171,000. If the economy linen division is dropped, 50% of the fixed costs allocated to that division could be eliminated. The impact on Linen King's operating income for eliminating the economy linen business segment would be: $800 increase o $171,000 decrease P $154,000 increase O $85,500 decreaseStep by Step Solution
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