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Please help answer this question. It's a total of 6 pictures, the ones in the reb boxes are coming out incorrect as well as #
Please help answer this question. It's a total of 6 pictures, the ones in the reb boxes are coming out incorrect as well as # 4. Please help it's just not adding up
valdespin Company manufactures three sizes of camping tents-small (s) medium (M), and large (u). The income statement has consistently indicated a net loss for the M size, and management is considering three proposals: (1) continue size M, (2) discontinue size M and reduce total output accordingly, or (3) discontinue size M and conduct an advertising campaign to expand the sales of size s so that the entire plant capadty can continue to be used. If Proposal 2is selected and size Miss discontinued and production curtailed, the annual fixed production costs and fixed operating expenses could be reduced by $46.080 and $32,240 respectively. If Proposal 3 is selected, it is anticipated that an additional annual expenditure of $34,560 for the rental of additional warehouse space would yield an addtional 130% in sine s sales volume. It is also assumed that the increased production of sizes would utilize the plant fadities released by the discontinuance of size M. The sales and costs have been relatively stable over the past few years, and they are expected to remain so for the foreseeable future. The income statement for the past year ended une 30, 2016, is as follows: Total Size L Size S 3 Cost of goods sold $500.000.00 SS7120.00 SA3776000 $.09488000 4 Variable costs 172.80000 Total cost of goods sold $880.65000 $241930.00 Gross profit Less operating expenses Step by Step Solution
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