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Wildhorse Inc. manufactures golf clubs in three models. For the year, the Penny Worth line has a net loss of $6,200 from sales of $225,000,
Wildhorse Inc. manufactures golf clubs in three models. For the year, the Penny Worth line has a net loss of $6,200 from sales of $225,000, variable costs of $202,500, and fixed costs of $28,700. If the Penny Worth line is eliminated, $15,100 of fixed costs will remain. Prepare an analysis showing whether the Penny Worth line should be eliminated. (If an amount reduces the net income then enter with a negative sign preceding the number eg. 15,000 or parenthesis, eg. (15,000).)
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