Your friend remarked, A company will never drop a product from its product line that has a
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Your friend remarked, “A company will never drop a product from its product line that has a positive contribution margin. It will want to garner every bit of profit that it can.” Is this true in all cases? What are the risks and benefits of evaluating product continuation or implementation using the contribution margin?
Related Book For
Accounting What the Numbers Mean
ISBN: 978-0073527062
9th Edition
Authors: David H. Marshall, Wayne W. McManus, Daniel F. Viele,
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