Question 12 Not yet answered Points out of 5.00 P Flag question A condensed Income Statement for Ace Food Co. indicated the following for Bagels for the past year: Sales $475,000 Cost of Goods Sold 355,000 Gross Profit 120,000 Operating Expenses 138,000 Loss from operations (18,000) It is estimated that 25% of the cost of goods sold represents fixed factory overhead costs and that 20% of the operating expenses are fixed. Since Bagels is only one of many products, the fixed costs will not be materially affected if the product is discontinued. The contribution margin for Bagels is $100,000. Select one: True False