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Question 39 1 pts A company has already incurred a $55,000 cost in partially producing its three products. Their selling prices when partially and fully
Question 39 1 pts A company has already incurred a $55,000 cost in partially producing its three products. Their selling prices when partially and fully processed are shown in the following table with the additional costs necessary to finish their processing. Based on this information, should any products be processed further? Product Unfinished Selling Price $72 Finished Further Selling Price Processing Cost $108 $35 124 141 All of these products should be processed further. None of these products should be processed further. Products A and B should be processed further. Products B and C should be processed further. Products A and C should be processed further. Question 40 1 pts A company is considering eliminating its backpack division, which reported an operating loss for the recent year of $42,000. The division sales for the year were $960,000 and the variable costs were $475,000. The fixed costs of the division were $527,000. If the backpack division is dropped, all of the fixed costs allocated to the division will remain. The impact on the company's operating income for eliminating this business segment would be: $485,000 decrease $210,800 increase $274,200 decrease $485,000 increase $274,200 increase
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