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Tiger Clubs produces three versions of crivers: hickory, steel, and carbon. A condensed segmented income statement for a recent period follows: Hickory Sales $350,000 Variable
Tiger Clubs produces three versions of crivers: hickory, steel, and carbon. A condensed segmented income statement for a recent period follows: Hickory Sales $350,000 Variable expenses 250,000 Contribution margin 100,000 Fixed expenses 50,000 Net income (loss) $50,000 Steel $150,000 105,000 45,000 25,000 $ 20,000 Carbon $50,000 44,000 6,000 10,000 $(4,000) Total $550,000 399,000 151,000 85,000 $66,000 Assume one-half of the fixed expenses for the carbon drivers are avoidable. What will be total net income if the line is dropped? $65,000 $70,000 $39,000 $60,000 MacBook Pro
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