Ivanhoe Trivia Co. manufactures and sells two trivia products, the Square Trivia Game and the...
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Ivanhoe Trivia Co. manufactures and sells two trivia products, the Square Trivia Game and the Round Trivia Game. Last quarter's operating profits, by product, and for the company as a whole, were as follows: Square Round Total $12,800 $6,670 $19,470 Sales revenue Variable expenses 4,980 2,930 7,910 Contribution margin 7,820 3,740 11,560 Fixed expenses Operating income $5,010 $(460) $4,550 2,810 4,200 7,010 Forty percent of the Round Game's fixed costs could have been avoided if the game had not been produced or sold If the Round Game had been discontinued before the last quarter, what would operating income have been for the company as a whole? Operating income without round $
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