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The following infomation is for three of X Company's products: Product A Contribution margin rate Fixed costs Profit 0.36 Product B 0.40 Product C 0.44
The following infomation is for three of X Company's products: Product A Contribution margin rate Fixed costs Profit 0.36 Product B 0.40 Product C 0.44 $28,339 $7,085 $37,504 $9,376 $41,140 $-3,740 Sales of Product C were $85,000, but X Company is still considering dropping it because of its reported loss. If it does, $20,570 of the fixed costs associated with it can be avoided, and sales of Product B can be increased by $42,800. If X Company does drop Product C and increases sales of Product B, X Company's profits will change by Submit Answer Tries 0/4
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