Chapter 12 Quiz 0 Seved Help Save & Exit Submit TB MC Qu. 12-59 Lusk Corporation produces and sells ... Lusk Corporation produces and sells 15,300 units of Product X each month. The selling price of Product X is $23 per unit, and variable expenses are $17 per unit. A study has been made concerning whether Product X should be discontinued. The study shows that $74,000 of the $103.000 in monthly fixed expenses charged to Product X would not be avoidable even if the product was discontinued. If Product X is discontinued, the annual financial advantage (disadvantage) for the company of eliminating this product should be: 3.12 points (8 01:15:53 Multiple Choice O $62.800) o $1.200 O S40.200 ($40.200) 5 TB MC Qu. 12-111 The management of Bonga Corporation is considering ... The management of Bonga Corporation is considering dropping product D74F. Data from the company's accounting system for this product for last year appear below: pints 8 0216:23 Sales Variable expenses Fixed manufacturing expenses Fixed selling and administrative expenses $925,000 $406,500 $339,000 $246,000 All fixed expenses of the company are fully allocated to products in the company's accounting system. Further investigation has revealed that $208.500 of the fixed manufacturing expenses and $119.500 of the fixed selling and administrative expenses are avoidable if product D74F is discontinued. What would be the financial advantage (disadvantage) from dropping product D74F? Multiple Choice O $190,500 O $66,500 O ($66.500) O $190,500)