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review question need some help thank you and sells logs to paper manufacturers. The Consumer Division operates retail lumber mills which sell a variety of
review question need some help thank you and sells logs to paper manufacturers. The Consumer Division operates retail lumber mills which sell a variety of products in the do-ityourself homeowner market. The company is considering disposing of the Consumer Division since it has been consistently unprofitable for a number of years. The income statements for the two divisions for the year ended December 31, 2019 are presented below: In the Consumer Division, 70% of the cost of goods sold are variable costs and 35% of selling and administrative expenses are variable costs. The management of the company feels it can save $45,000 of fixed cost of goods sold and $50,000 of fixed selling expenses if it discontinues operation of the Consumer Division. negative sign preceding the number eg. -45 or parentheses eg. (45). Do not leave any field blank. Enter Ofor the amounts. List variable expenses before fixed expenses.)
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