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Please help me answer all requirements Suppose Better Harvest is considering discontinuing its yummy pebbles product line. Assume that during the past year, the yummy
Please help me answer all requirements
Suppose Better Harvest is considering discontinuing its yummy pebbles product line. Assume that during the past year, the yummy pebbles' product line income statement showed the following: (Click the icon to view the income statement data.) (Click the icon for additional information.) If the company decides to discontinue the product line, what will happen to the company's operating income? Should Better Harvest discontinue the yummy pebbles product line? Begin by preparing a contribution margin income statement for the yummy pebbles' product line. (Use a minus sign or parentheses to enter a los.5.) More info Fixed manufacturing overhead costs account for 40% of the cost of goods, while only 30% of the operating expenses are fixed, Since the yummy pebbles line is just one of the company's cereal operations, only $770,000 of direct fixed costs (the majority of which is advertising) will be eliminated if the product line is. discontinued. The remainder of the fixed costs will still be incurred by the company. Data table Step by Step Solution
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