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s&takeAssignmentSessionLocator-assignment-take&inprogress false on) -(eBook Video strip 400,000 $200,000 225,000 Plank Parquet 300,000 $900,000 250,000 595,000 $ 50,000 $305,000 Total Sales revenue Less: Variable expenses Contribution

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s&takeAssignmentSessionLocator-assignment-take&inprogress false on) -(eBook Video strip 400,000 $200,000 225,000 Plank Parquet 300,000 $900,000 250,000 595,000 $ 50,000 $305,000 Total Sales revenue Less: Variable expenses Contribution margin Less direct fixed expenses: 120,000 $175,000 80,000 20000 (50.00),0) Machine rent (50,000) (75,000 (45,000) (25,000) (70,000) 120,000 40,000 (45,000) $115,000 (15,000) (10,000) (20,000) (35,000) (10,000) Segment margin ) orzo's management is deciding whether to keep or drop the parquet product line oro's parquet flooring prduct line has , contribution margin of $50,000 (sales of $300,000 less total variable costs of $250,000). All variable costs are relevant. Relevant fixed costs associated wit this line incdude $30,000 in machine rent and $4,700 in supervision salaries Required: 1. List the alternatives being considered with respect to the parquet flooring line Orop the panquet flooring line or keep it w 2. Which alternative is more cost effective and by how much? Keep by Net 6 8 9 o

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