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Valber Company is considering eliminating its Phone division. The company allocates fixed costs based on sales. If the Phone division is dropped, all of its
Valber Company is considering eliminating its Phone division. The company allocates fixed costs based on sales. If the Phone division is dropped, all of its variable costs are avoidable, and $158,000 of its fixed costs are avoidable. The impact on Valber's income from eliminating the Phone division is: Multuple Choice $13,000 decrease $158,000 increase $158,000 decrease $23,000 increase $22.000 decrease Multiple Choice $13,000 decrease $158,000 increase $158,000 decrease $23,000 increase $22,000 decrease are avoidable. The impact on Valber's income from eliminating the Phone division is
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