Fabri Corporation is considering eliminating a department that has an annual contribution margin of $23,000 and $77,000
Posted: Wed Jul 06, 2022 6:26 am
Fabri Corporation is considering eliminating a department thathas an annual contribution margin of $23,000 and $77,000 in annualfixed costs. Of the fixed costs, $22,500 cannot be avoided. Theannual financial advantage (disadvantage) for the company ofeliminating this department would be:
Multiple Choice
($54,000)
$54,000
($31,500)
$31,500
Multiple Choice
($54,000)
$54,000
($31,500)
$31,500