Question: Based on the segment Income statement below, Chips, Incorporated is considering eliminating Its Barbecue Division line. Revenue from Barbecue Division sales $ 512, 090 Salaries

Based on the segment Income statement below, Chips, Incorporated is considering eliminating Its Barbecue Division line. Revenue from Barbecue Division sales $ 512, 090 Salaries for Barbecue Division workers (112, 000) Direct material (318, 000) Sunk costs (equipment depreciation) (78, 000) Allocated company-wide facility-sustaining costs (56, 000) Net loss $ (52, 000) If the Division is eliminated, what is the total amount of avoidable cost? Multiple Choice O $534,000. O $430,000. O $568.000. $508,000

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