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Suppose a company has an Operating line A Which has $300,000 Revenue: Variable Expenses of $240,000; Salaries to Line's Supervisor amounting to $40,000; and an
Suppose a company has an Operating line A Which has $300,000 Revenue: Variable Expenses of $240,000; Salaries to Line's Supervisor amounting to $40,000; and an allocated cost of $28,000. should the company drop Operating Line A? Select one: O a. No, it contributes $20,000 to indirect cost o b. Yes, It has a negative Operating Income of $8,000 oc. No, it contributes $60,000 to indirect cost O d. Yes, it has 80% Variable cost
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