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The management accountant for Giada's Book Store has prepared the following income statement for the most current year: Sales Cost of goods sold Gross profit

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The management accountant for Giada's Book Store has prepared the following income statement for the most current year: Sales Cost of goods sold Gross profit Order and delivery processing Rent (per sq. foot used) Allocated corporate costs Corporate profit Cookbook $60,000 41,000 19,000 19,000 4,000 12,000 $ (16,000) Travel Book $173,000 66,000 107,000 21,000 1,000 12,000 $73,000 Classics $50,000 21,000 29,000 9,000 7,000 12,000 $1,000 Total $283,000 128,000 155,000 49,000 12,000 36,000 $58,000 If the travel book line had been discontinued, corporate profits for the current year would have decreased by __ use for the space rented.) (Assume there is no alternative O A. $85,000 O B. $107,000 O C. $73,000 OD. $86,000

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