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Question 9 of 17 1 Points Alpha Inc has two product lines: Formal Attire and Casual Attire. The Company's income statement information for its most
Question 9 of 17 1 Points Alpha Inc has two product lines: Formal Attire and Casual Attire. The Company's income statement information for its most recent year is below. Foraml Attire Casual Attire Total Sales $250,000 $500,000 $750,000 Variable Costs 187,500 200,000 387,500 362,500 Contribution Margin 62,500 300,000 95,000 90,000 185,000 Fixed Costs Operationg Profit(Loss) $(32,500) $210,000 $177,500 The Company is considering the impact of shutting down the Formal Attire product line. Fixed costs totaling $12,000 could be avoided if this product line was discontinued. What would be the impact on the Company's operating profit if this product line was discontinued
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