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Total California lowa Missouri Sales $19,480 $6,700 $3,220 $9,560 Variable Costs $12,000 $4,000 $2,000 $6,000 Contribution Margin $7,480 $2,700 $1,220 $3,560 Traceable Fixed Expenses $6,700
Total California lowa Missouri Sales $19,480 $6,700 $3,220 $9,560 Variable Costs $12,000 $4,000 $2,000 $6,000 Contribution Margin $7,480 $2,700 $1,220 $3,560 Traceable Fixed Expenses $6,700 $1,200 $2,500 $3,000 Division Margin (Loss) $780 $1,500 ($1,280) $560 Common Fixed Expenses $3,000 Net Operating Income (Loss) ($2,220) SixthZ is considering eliminating the lowa region. It believes that if it drops the lowa region, the Missouri region will grow by 15% in 2021 (Missouri borders lowa). What would be the profit impact of dropping the lowa region in 2021? Gain of $1,196 Gain of $1,814 Gain of $746 Gain of $1,364
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