Question: Bramble Corp. has three product lines. Its only unprofitable line is Corn Nuts, the results of which appear below for 2022: Sales $1520000 Variable expenses
Bramble Corp. has three product lines. Its only unprofitable line is Corn Nuts, the results of which appear below for 2022:
Sales
$1520000
Variable expenses
1030000
Fixed expenses
600000
Net loss
$ (110000)
If this product line is eliminated, 30% of the fixed expenses can be eliminated. How much are the relevant costs in the decision to eliminate this product line?
$1630000
$1210000 1 $1450000
$180000
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