M$7\mathrm{.}7($Algo$)$ Analyzing Keep$-$or$-$Drop Decision $[$LO $7-2,7\mathrm{.}5]$

Blowing Sand Company produces the Draty model far, which curertyy has a net loss of $$48\mathrm{.}000$ as follow:

$\backslash$table$[[,$Brafte sicilell$],[$Salth ftwehut,$5$ Jinyan$],[$Lews: Variable costs,$224,$ lit$],[$Cankrlibetisan margin,$],[$Less: Direct fixed cests,$34,44$y$],[$Seqnent marpia,$5714$ mink$],[$Lessi Cohmon fixed costs,$14,4$ and$],[$Net eptritioy thenme $[$lass$),5[$an$,+193]]]$

Elminating the Drafy product live would eliminate $586,000$ of direct fleed costs. The $551\mathrm{.}000$ of common faed coats mould be eedistritwited to Biowing Sand's remaining product lines.

Bequiet:

tita

becmatar bM$7\mathrm{.}7($Algo$)$ Analyzing Keep$-$or$-$Drop Decision $[$LO $7-2,7\mathrm{.}5]$

Blowing Sand Company produces the Draty model far, which curertyy has a net loss of $$48\mathrm{.}000$ as follow:

$\backslash$table$[[,$Brafte sicilell$],[$Salth ftwehut,$5$ Jinyan$],[$Lews: Variable costs,$224,$ lit$],[$Cankrlibetisan margin,$],[$Less: Direct fixed cests,$34,44$y$],[$Seqnent marpia,$5714$ mink$],[$Lessi Cohmon fixed costs,$14,4$ and$],[$Net eptritioy thenme $[$lass$),5[$an$,+193]]]$

Elminating the Drafy product live would eliminate $586,000$ of direct fleed costs. The $551\mathrm{.}000$ of common faed coats mould be eedistritwited to Biowing Sand's remaining product lines.

Bequiet:

tita

becmatar b