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The following Income Statement is for X Company and its only two products - A and B: Total $176,550 95,382 $81,168 Product A $87,140 45,313
The following Income Statement is for X Company and its only two products - A and B: Total $176,550 95,382 $81,168 Product A $87,140 45,313 $41,827 Product B $89,410 50,070 $39,340 Sales Variable Costs Contribution margin Fixed costs: Avoidable Unavoidable Profit 44,580 33,320 $3,268 22,560 28,230 $-8,963 22,020 5,090 $12,230 Because Product A is showing a loss, X Company is considering dropping it, and in its place, increase sales of Product B by $16,530. If it drops Product A and increases sales of Product B, X Company's profits will increase by Submit Answer Tries 0/3
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