Question 18 (10 points) PPP is concerned about the reported loss on the mugs they make. It is considering eliminating mugs. If mugs were discontinued, PPP would be able to make and sell an additional 10,000 plates. The effect on operating profit would be an increase of $6,250 none of the options a decrease of $12,500 a decrease of $31,250 an increase of $20,000 Dusuiqur Rage Next Page Page 3 of 4

PPP is concerned about the reported loss on the mugs they make. It is considering eliminating mugs. If mugs were discontinued, PPP would be able to make and sell an additional 10,000 plates. The effect on operating profit would be an increase of $6,250 none of the options a decrease of $12,500 a decrease of $31,250 an increase of $20,000