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Business, 12.11.2019 05:31 KarateKat

Acompany has two different products that are sold in different markets. financial data are as? follows:

product a

product b

total

revenue

$ 16 comma 000$16,000

$ 9 comma 400$9,400

$ 25 comma 400$25,400

variable cost

? (7 comma 0007,000? )

? (9 comma 9009,900? )

? (16 comma 90016,900? )

fixed cost? (allocated)

? (1 comma 0001,000? )

? (2 comma 2002,200? )

? (3 comma 2003,200? )

operating income? (loss)

$ 8 comma 000$8,000

? $(2 comma 7002,700? )

$ 5 comma 300$5,300

assume that fixed costs of

$ 1 comma 000$1,000

could be eliminated if product b was dropped. assume furthermore that dropping one product would not impact sales of the other. if product b is? dropped, what would be the impact on total operating income of the? company?

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Answers: 3

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