Question
Splish Inc. manufactures golf clubs in three models. For the year, the Golden line has a net loss of $1,900 from sales of $231,000, variable
Splish Inc. manufactures golf clubs in three models. For the year, the Golden line has a net loss of $1,900 from sales of $231,000, variable costs of $207,900, and fixed costs of $25,000. If the Golden line is eliminated, $15,500 of fixed costs will remain. Prepare an analysis showing whether the Golden line should be eliminated. (If an amount reduces the net income then enter with a negative sign preceding the number e.g. -15,000 or parenthesis, e.g. (15,000).)
Continue | Eliminate | Increase (Decrease) | |||||
---|---|---|---|---|---|---|---|
select an item Variable costsSalesNet income/(loss)Fixed costsContribution margin | $enter a dollar amount | $enter a dollar amount | $enter a dollar amount | ||||
select an item Fixed costsSalesContribution marginVariable costsNet income/(loss) | enter a dollar amount | enter a dollar amount | enter a dollar amount | ||||
select a summarizing line for the first part Contribution marginVariable costsSalesFixed costsNet income/(loss) | enter a total amount for the first part | enter a total amount for the first part | enter a total amount for the first part | ||||
select an item Contribution marginNet income/(loss)Variable costsSalesFixed costs | enter a dollar amount | enter a dollar amount | enter a dollar amount | ||||
select a closing name for this statement Fixed costsSalesVariable costsNet income/(loss)Contribution margin | $enter a total net income or loss amount | $enter a total net income or loss amount | $enter a total net income or loss amount |
The division select an option should notshould be continued. |
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