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S8-6 (similar to) Question Help Men's. Women's, and Accessories Linda Fashion allocates all fxed expenses (unavoidable buiding depreciation and ulities) based on each department's squar

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S8-6 (similar to) Question Help Men's. Women's, and Accessories Linda Fashion allocates all fxed expenses (unavoidable buiding depreciation and ulities) based on each department's squar Linda Fashion in Austin operates theee depatments footage Depatmental operating E, (okk the Kon to vew the data ) The store will remain in the same building regardess of whether any of the departments are ncome data for the third quarter of the current year are as follows dscontinued Should Linda Fashion daconenue any of the departments? Give your reason While the Accessories Department appears to be The Accessories Department s conibuting sl towar Tho Men's and Women's Departments are even this department has a coverng Data Table Linda Fashions Product Line Contribution Margin Income Statement For the Year Product lines Men's Women's 5 10 000 556 0005 SAccessories Company Total 56,000 2 000 103 000 2.000 267 000 85 000 2 000 72 000 Sales reven 1000 Contrbution margin Less Fed expenses 47 000 24.000 1 000 6 000 4 000 22 000 3 000 2 000 15 000) ncome Pnt Done

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