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Which of the following are valid reasons for eliminating a product line? I. The product line's contribution margin is negative. II. The product line's contribution

Which of the following are valid reasons for eliminating a product line?

I. The product line's contribution margin is negative.

II. The product line's contribution margin is more than the fixed expenses avoided.

  • Only I

  • Only II

  • Both I and II

  • Neither I nor II

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