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Y Company operates three departments within its store and has the following information. Total Dept A 150,000 Dept B 90,000 Dept C 60.000 300,000 90,000
Y Company operates three departments within its store and has the following information. Total Dept A 150,000 Dept B 90,000 Dept C 60.000 300,000 90,000 45,000 42,000 177,000 Sales revenue Variable Costs Fixed Costs (Allocated) Income (Loss) 50,000 40,000 30,000 120,000 10,000 5,000 (12,000) 3,000 If Department C is eliminated, sales in Departments A & B will each decrease by 10% and $25,000 of the fixed costs allocated to Department C can be eliminated. What is the increase or decrease in the company's net income if Department C is eliminated? Do not enter $ signs or commas. If it is a decrease use a negative sign. For example, enter a $10,000 increase as 10000. Enter a $10,000 decrease as a -10000
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