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QS 23-14 Segment ellmination LO A1 A division of a large company reports the information shown below for a recent year. Variable costs and direct
QS 23-14 Segment ellmination LO A1 A division of a large company reports the information shown below for a recent year. Variable costs and direct fixed costs are avoidable, and 50% of the indirect fixed costs are avoidable. Based on this information, should the division be eliminated? Sales Variable costs Fixed costs $ 270, 000 143,000 Direct Indirect 34,000 58,000 Operating loss $ (35,000) 1-a. Compare the amounts of total revenues and total avoidable expenses Avoidable expenses Revenues are greater than (less than) avoidable expenses by Prev 6 of 13 Score
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