Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. all about animals has two product lines: cat food

All About Animals has two product lines: Cat food and Dog food. Contribution margin income...

50.1K

Verified Solution

Question

Accounting

image

image

All About Animals has two product lines: Cat food and Dog food. Contribution margin income statement data for the most recent vear follow Sales revenue Variable expenses Contribution margin Fixed expenses Operating income (loss) Total Cat Food Dog Food $85,000 $40,000 $45,000 $52,000 $265,000$272,000S(7,000) $425.000 $340,000 $23,000 $362,000 $317,000 $45,000 $63,000 $97,000 Assuming the Dog food is discontinued, total fixed costs remain unchanged, and the space formerly used to produce the line is rented for $23,000 per year, how will operating income be affected? A. Increase $22,000 B. Increase $243,000 O C. Decrease $22,000 D. Increase $508,000

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Krypton Engineering expects to have net profit next year of $ 16.01 million and free cash...

Finance
Q

Should there be a new Stage of Life Between Late Adolescence and Early Adulthood? As you answer...

Psychology
Q

17 a An electron is shot directly toward the centre of a large metal plate...

Physics
Q

Which polar equation below is the graph of TT 5 5TT 6 7 TT 6...

Geometry
Q

A man standing on the roof of a building 57 0 feet high looks down...

Geometry
Q

4 People not only live longer today but also live longer independently Then May June...

Statistics
Q

12 Find the roots of this function f x x 2x 2 A 1 2...

Calculus
Q

Given that 8i is a zero factor the following polynomial function completely Use the Conjugate...

Algebra
Q

point s possible Farmer Brown had ducks and cows One day she noticed that the...

Algebra
Q

The following information pertains to the October operating budget for Flockhart Corporation. times Budgeted sales...

Accounting
Q

How was this number calculated? Ty, will leave thumbs up! the number that is...

Finance
Q

Dropdown Option 1 Option 2 1 Down payment Mortgage Points ...

Accounting