15. Will Jed retain or drop Chicken Siomai? Indicate the net advantage. (The allocated fixed costs are unavoidable. Demands of individual products are not affected by changes in other product lines.) * Jed Foods Corp has four product lines. Results of the 4th quarter are presented below: 3 points Shrimp Units sold 4200 Chicken 900 Pork 4,000 Beef 1,400 Total 10,500 Revenue 105,000.00 22,500.00 100,000.00 35,000.00 262,500.00 Variable departmental costs 12,000.00 9,000.00 40,000.00 19,600.00 80,600.00 Direct fixed costs 5,000.00 8,000.00 15,000.00 17,000.00 45,000.00 Allocated fixed costs 8,000.00 12,000.00 12,000.00 6,000.00 38,000.00 Net Income (Loss) 80,000.00 (6,500.00) 33,000.00 (7,600.00) 98,900.00 Your answer 16. What will be the net income or loss of Jed if Chicken is dropped? (The 2 points allocated fixed costs are unavoidable. Demands of individual products are not affected by changes in other product lines.) * Jed Foods Corp has four product lines. Results of the 4th quarter are presented below: Units sold Shrimp 4200 Chicken 900 Pork Beef 4,000 1,400 Total 10,500 Revenue 105,000.00 22,500.00 100,000.00 35,000.00 262,500.00 Variable departmental costs 12,000.00 9,000.00 40,000.00 19,600.00 80,600.00 Direct fixed costs 5,000.00 8,000.00 15,000.00 17,000.00 45,000.00 Allocated fixed costs 8,000.00 12,000.00 12,000.00 6,000.00 38,000.00 Net Income (Loss) 80,000.00 (6,500.00) 33,000.00 (7,600.00) 98,900.00 Your answer