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The management of Bonga Corporation is considering dropping product D7AE. Data from the company's accounting system for this product for last year appear. below: All

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The management of Bonga Corporation is considering dropping product D7AE. Data from the company's accounting system for this product for last year appear. below: All fixed expenses of the company are fully allocated to products in the company's accounting system. Fuither livestigation has revealed that $209,500 of the fored manufacturing expenses and $120,500 of the fixed selling and administrative expenses are avoidable if product D74F is discontinued. What would be the financial advantage (disadvantage) from dropping product 074F? What would be the financial advantage (disadvantage) from dropping product D74F? Multiple Choice (\$189.500) $189,500 $69,500 (\$69.500)

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