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The performance of the three divisions of a company is detailed below: Division W $000 Division X $000 Division Y $000 Total $000 Sales 700

The performance of the three divisions of a company is detailed below: Division W $000 Division X $000 Division Y $000 Total $000 Sales 700 840 300 1840 Variable costs 560 420 240 1220 Contribution 140 420 60 620 Fixed overhead 210 Each division incurs the same level of specific fixed overheads. Which of the divisions should continue to operate if the companys objective is to maximize profits? a. all of the divisions b. divisions W and division X only c. division X only d. division X and Division Y only

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