Oriole Company has three product lines in its retail stores: books, videos, and music. The allocated...

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Oriole Company has three product lines in its retail stores: books, videos, and music. The allocated fixed costs are based on units sold and are unavoidable. Demand of individual products is not affected by changes in other product lines. Results of the fourthquarter are presented below: Books Music Videos Total Units sold 880 1.760 1,760 4,400 Revenue $21.120 $42,240 $26,400 $89,760 Variable departmental costs 13,200 19,360 20,240 52.800 Direct fxed costs 2.640 5,280 3.520 11,440 Allocated foxed costs 3,872 7,744 7,744 19.360 Net incdas (loss) $1.408 $9.856 $(5,104) $6.160 Prepare an incremental analysis of the effect of dropping the Video product line. (Enter negative amounts using either a negative sign preceding the number eg. 45 or parentheses eg. (45).) 24 %24 Oriole Company has three product lines in its retail stores: books, videos, and music. The allocated fixed costs are based on units sold and are unavoidable. Demand of individual products is not affected by changes in other product lines. Results of the fourthquarter are presented below: Books Music Videos Total Units sold 880 1.760 1,760 4,400 Revenue $21.120 $42,240 $26,400 $89,760 Variable departmental costs 13,200 19,360 20,240 52.800 Direct fxed costs 2.640 5,280 3.520 11,440 Allocated foxed costs 3,872 7,744 7,744 19.360 Net incdas (loss) $1.408 $9.856 $(5,104) $6.160 Prepare an incremental analysis of the effect of dropping the Video product line. (Enter negative amounts using either a negative sign preceding the number eg. 45 or parentheses eg. (45).) 24 %24

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Requirement Video line Incremental Reven... View the full answer