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TB MC Qu. 11-68 The following information relates ... 30 The following information relates to next year's projected operating results of the Children's Division of
TB MC Qu. 11-68 The following information relates ... 30 The following information relates to next year's projected operating results of the Children's Division of Grunge Clothing Corporation: 10 points Contribution margin Fixed expenses Net operating loss $ 200,000 500,000 $(300,000) Skloped If the Children's Division is eliminated, $170,000 of the above fixed expenses could be avoided. The annual financial advantage (disadvantage) for the company of eliminating this division should be: Multiple Choice ($300,000) O $30,000 O ($30,000) $300,000
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