-te-17. Leonora Industries manufactures light fixtures for home, retail, and industrial customers. The retail line has been showing losses for several years, and management i considering dropping the line. Recent income statements have been very similar to the following information which was prepared for the most recent year Home Retail Industrial Total $550,000 $320,000 $830,000 $1.700.000 Sales 357.500 21260680.0 1.255.709 192,500 125.000 130.000 115000 370.099 67.5005(27,600) $34,400 74,300 Variable costs Contribution margitn 102,400 149,400 444,300 Fixed costs Operating income or the fixed costs, Si 5,000 is cornmon costs that have been allocated equally to each produc line. What will total operating income be if Leonora drops the retail line? a. $101,900 b. $77,400 c. $26,900 $3,100) C18. Two types of return can be expected from investment in long-term assets a. Positive contribution margin and positive segment margin. b. Interest and dividends Return of investment and return on investment d. None of these answer choices are correct. 519. Managers use the capital budgeting techniques to make which of the following tw capital budgeting decisions? a. Screening decisions and pricing decisions. b. Screening decisions and preference decisions. c. Preference decisions and pricing decisions. dNone of these answer choices are correct. 20. The minimum required rate of return is often referred to as the a Hurdle rate. b. Benchmark rate. c. Project rate. d. Activity rate