Requirement. By doing down the Oakland store, Irving can reduce overall corporate overhead costs by 500.000. Should Irving Corporation close down the Oakland store? Complete all hout felis Erter losses in revenues as a regative amount of the cost is not relevant interfect is an operating loss and the amount with parts of a mission) (Los In Revenues) Bavings in Costs from Closing Oakland Store Reven Cost of goods sold Variable preting costs labores) Luis rentrenewable each year) Depreciation of equipment Allocated corporate overheid Total operating costs Effect an operating income foss) Showing close down the Oakland store Thesis The convinge Which cost will not be saved because it is a past Requirement 2. Indosing down Oakland store, Irving Corporation is thinking of opening another store with everues and cost identical to the Oakland store including a cost of $19.000 to sure equipment with a one-year We and zoro diaporal value Opening the wil incate corporale overhead cons by $8.000. Should Irving Corporation open another store the Oakland for? Explain Ben by coating rings operating income kepe the Oakland store open and opera where will revenue and cost decal to the Order of the neefect in antoperating to enter the amount wmpworthis eramu Incremental Revenues lacremental Costs) of Opening Newtore LOakland Store Ros Omg costs Cost of goods sold Vaateperating costs for the Lorrable exch year) Depreciation of vipment Allocated corporate weed Total per costs test an operating cosa wa Corpormon her one and one because y operating income - Data table Medfield Store Oakland Store Revenues $ 2,250,000 $ 1,500,000 1,250,000 1,250,000 180,000 135,000 Operating costs Cost of goods sold Variable operating costs (labor, utilities) Lease rent (renewable each year) Depreciation of equipment Allocated corporate overhead 140,000 157,000 46,000 88,000 44,500 85,000 Total operating costs 1,704,000 1,671,500 $ Operating income (loss) 546,000 $ (171,500) Print Done Requirement. By doing down the Oakland store, Irving can reduce overall corporate overhead costs by 500.000. Should Irving Corporation close down the Oakland store? Complete all hout felis Erter losses in revenues as a regative amount of the cost is not relevant interfect is an operating loss and the amount with parts of a mission) (Los In Revenues) Bavings in Costs from Closing Oakland Store Reven Cost of goods sold Variable preting costs labores) Luis rentrenewable each year) Depreciation of equipment Allocated corporate overheid Total operating costs Effect an operating income foss) Showing close down the Oakland store Thesis The convinge Which cost will not be saved because it is a past Requirement 2. Indosing down Oakland store, Irving Corporation is thinking of opening another store with everues and cost identical to the Oakland store including a cost of $19.000 to sure equipment with a one-year We and zoro diaporal value Opening the wil incate corporale overhead cons by $8.000. Should Irving Corporation open another store the Oakland for? Explain Ben by coating rings operating income kepe the Oakland store open and opera where will revenue and cost decal to the Order of the neefect in antoperating to enter the amount wmpworthis eramu Incremental Revenues lacremental Costs) of Opening Newtore LOakland Store Ros Omg costs Cost of goods sold Vaateperating costs for the Lorrable exch year) Depreciation of vipment Allocated corporate weed Total per costs test an operating cosa wa Corpormon her one and one because y operating income - Data table Medfield Store Oakland Store Revenues $ 2,250,000 $ 1,500,000 1,250,000 1,250,000 180,000 135,000 Operating costs Cost of goods sold Variable operating costs (labor, utilities) Lease rent (renewable each year) Depreciation of equipment Allocated corporate overhead 140,000 157,000 46,000 88,000 44,500 85,000 Total operating costs 1,704,000 1,671,500 $ Operating income (loss) 546,000 $ (171,500) Print Done