The management of Bonga Corporation is considering dropping product D74F. Data from the company's accounting system for

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The Management Of Bonga Corporation Is Considering Dropping Product D74f Data From The Company S Accounting System For 1 (32.08 KiB) Viewed 60 times

The management of Bonga Corporation is considering dropping product D74F. Data from the company's accounting system for this product for last year appear below: Sales Variable expenses Fixed manufacturing expenses Fixed selling and administrative expenses $942,000 $415,000 $356,000 $263,000 All fixed expenses of the company are fully allocated to products in the company's accounting system. Further investigation has revealed that $217,000 of the fixed manufacturing expenses and $128,000 of the fixed selling and administrative expenses are avoidable if product D74F is discontinued. What would be the financial advantage (disadvantage) from dropping product D74F? Multiple Choice $182.000 O $92,000 ($92,000) O o ($182,000)