new brands company--

Project Description:

new brands company is currently operating at 80 percent capacity. worried about the company's performance, the general manager reviewed the company's operating performance. (all fixed costs are allocated costs.)

segment
north
south
east
west
sales
30
40
20
10
less: variable costs
11
8
21
8
contribution margin
19
32
(1)
2
less: fixed costs
9
12
6
3
operating profit (loss)
10
20
(7)
(1)

required:
a. what is the current operating profit for the company as a whole?
b. if the manager eliminated the two unprofitable segments, what would be the new operating profit for the company as a whole?
c. how can management maximize profits?
Skills Required:
Project Stats:

Price Type: Negotiable

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