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The Cook Corporation has two divisions-East and West. The divisions have the following revenues and expenses: East Sales Variable costs Traceable fixed costs Allocated common

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The Cook Corporation has two divisions-East and West. The divisions have the following revenues and expenses: East Sales Variable costs Traceable fixed costs Allocated common corporate costs Net operating income (loss) $570,000 478,500 238,000 327,300 172,500 147,600 128,300 163,200 s 31,200 s (159,600) The management of Cook is considering the elimination of the West Division. If the West Division were eliminated, its traceable fxed costs could be avoided. Total common corporate costs would be unaffected by this decision. Given these data overall company net operating income (loss) of the elimination of the West Division would result in an Multiple Choice $31,200 $(132,000) K Prev 2 of 10 Next> ellt ur C88k is considering the elimination of the West Division. It the West Division were eliminated, its traceable fixed costs c ided. Total common corporate costs would be unaffected by this decision. Given these data, the elimination of the West Division would r rall company net operating income (loss) of Multiple Choice $31,200 $(132,000) $(159,600) $(128,400) Next >

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