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Required information [The following information applies to the questions displayed below.] Suresh Company reports the following segment (department) income results for the year. Department M
Required information [The following information applies to the questions displayed below.] Suresh Company reports the following segment (department) income results for the year. Department M Department N Department o $ 76,000 $ 38,000 $ 69,000 Department P $ 55,000 Sales Expenses Avoidable Unavoidable Total expenses Income (loss) 14,300 55,400 69,700 $ 6,300 Total increase in income 41,800 18,000 59,800 $ (21,800) 21,300 5,100 26,400 $ 42,600 18,500 42,600 61,100 $ (6,100) Department T $ 37,000 45,900 16,100 62,000 $ (25,000) Total $ 275,000 141,800 137,200 279,000 $ (4,000) b. Compute the total increase in income if the departments with sales less than avoidable costs, as identified in part a, are eliminated.
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