Question 17 of 20 Units sold Revenue Variable departmental costs Direct fixed costs Allocated fixed costs Net income (loss) Flipflops 880 $17,600 14,960 880 6,160 $(4,400) Sandals 1,760 $35,200 19,360 2,640 6,160 $7,040 Slippers If Oriole discontinues the Flipflops product line profit will 1,760 $22,000 10,560 1,760 6,160 $3,520 Total 4,400 $74,800 44,880 5,280 18,480 by $ $6,160 The allocated fixed costs are unavoidable. Demand of individual products are not affected by changes in other product lines. What will happen to profits if Oriole discontinues the Flipfops product line? -15 |||

Question 17 of 20 15 The allocated fixed costs are unavoidable. Demand of individual products are not affected by changes in other product lines. What will happen to profits if Oriole discontinues the Flipfops product line? If Oriole discontinues the Flipflops product line profit will bys