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The following information is for Conglomerate Corp, which allocates common fixed costs. How much would the company save/lose if they stopped making product A? Prod
The following information is for Conglomerate Corp, which allocates common fixed costs. How much would the company save/lose if they stopped making product A?
Prod A Prod B Sales $60,000 $50,000 Variable costs $45,000 $30,000 Traceable fixed costs $20,000 $5,000 Common fixed costs $15,000 $10,000 Operating Income ($20,000) $5,000
Group of answer choices Lose $15,000 Save $20,000 Lose $20,000 Save $5,000 None of the above
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