Cullumber Company makes three models of tasers. informution on the three products is given below....
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Cullumber Company makes three models of tasers. informution on the three products is given below. Fined experser consiat of $294,000 of common costs allocated to the three products based on relative sales, as weil as direct foved experses unique to each model of \$30,000 (Tirvier), 579,500 (Shochet Land \$34,900 (Stunner). The commen costs will be incurred regardiess of how many inodek are probuced The direct fond expenses would be eliminated if that model is phised out. James Watt, an cucutive with the company, lech the Sturiner fine should be discontinues to inctease the company net income. (a) Compute current net income for Cullunber Company. Net incomen (b) Compute net income by product tine and in fotal for Cullumber Company if the company secontinues the Stumer product line lofint
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