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Why does downsizing a company by closing segments that report accounting loss often leads to decrease in profits for the company rather than an increase?

Why does downsizing a company by closing segments that report accounting loss often leads to decrease in profits for the company rather than an increase?

Common fixed costs allocated to the segment being closed

Excessive reserves taken in previous years

Direct material costs associated with the segment being closed

Additional restructuring costs due to closure of a segment

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