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Richard is a wine connoisseur and has a collection fo wine glasses to use with different kinds of wine. He is always looking to expand

Richard is a wine connoisseur and has a collection fo wine glasses to use with different kinds of wine. He is always looking to expand his collection, in case anyone is looking for gift ideas. According to the media, the manufacturere of his favorite wine glasses, Clear Leigh, has been having financial difficulties. The only information disclosed is that the champagne flutes may be discontinued due to poor sales. According tot he financial information disclosed below, you agree there is a problem. Sales: Red $410,000, White $315,000, Champagne $119,000. Variable costs Red 158,000, White 146,000, Champagne 46,000. Contribution margin Red 252,000, White 169,000, Champagne 73,000. Fixed costs Red103,000, White 99,000, Champagne 95,000. Operating Income (loss) Red $149,000, White $70,000, Champagne ($22,00). Suppose a more detailed description of the fixed costs are as follows for each product line. Given this information, would Clear Leigh be better off or worse off by dropping the champagne glasses?

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