Question: A segment has the following data: Sales $690000 Variable expenses 295000 Fixed expenses 550000 What will be the incremental effect on net income if this

A segment has the following data:

Sales $690000
Variable expenses 295000
Fixed expenses 550000

What will be the incremental effect on net income if this segment is eliminated, assuming the fixed expenses will be allocated to profitable segments?

Cannot be determined from the data provided

$395000 decrease

$4917 decrease

$295000 increase

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