Marinette Company makes several products, including canoes. The company has been experiencing losses from its canoe...

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Marinette Company makes several products, including canoes. The company has been experiencing losses from its canoe segment and is considering dropping that product line. The following information is available regarding its canoe segment. MARINETTE COMPANY Incone Statement-Canoe Segnent Sales Variable costs Direct materials Direct labor Variable overhead Variable selling and administrative Total variable costs Contribution margin Fixed costs Direct Indirect Total fixed costs $2,700,000 $ 590,000 640,000 440,000 270,000 1,940,000 760,000 515,000 440,000 955,000 $ (195,000) Net income 1. If canoes are discontinued, calculate the net income lost or gained 2. Should management discontinue the manufacturing of canoes? Complete this question by entering your answers in the tabs below. Required 1 Required 2 IF canoes are discontinued, calculate the net income lost or gained. (Leave no cels blank. Enter zeron where appropriate.) Keep the department Eliminate the department Sales Expenses Complete this question by entering your answers in the tabs below. Required 1 Required 2 If canoes are discontinued, calculate the net income lost or gained. (Leave no cells blank. Enter zeros where appropri Keep the department Eliminate the department Sales Expenses: Total expenses Net income (loss) Required 2 > Marinette Company makes several products, including canoes. The company has been experiencing losses from its canoe segment and is considering dropping that product line. The following information is available regarding its canoe segment. MARINETTE COMPANY Incone Statement-Canoe Segnent Sales Variable costs Direct materials Direct labor Variable overhead Variable selling and administrative Total variable costs Contribution margin Fixed costs Direct Indirect Total fixed costs $2,700,000 $ 590,000 640,000 440,000 270,000 1,940,000 760,000 515,000 440,000 955,000 $ (195,000) Net income 1. If canoes are discontinued, calculate the net income lost or gained 2. Should management discontinue the manufacturing of canoes? Complete this question by entering your answers in the tabs below. Required 1 Required 2 IF canoes are discontinued, calculate the net income lost or gained. (Leave no cels blank. Enter zeron where appropriate.) Keep the department Eliminate the department Sales Expenses Complete this question by entering your answers in the tabs below. Required 1 Required 2 If canoes are discontinued, calculate the net income lost or gained. (Leave no cells blank. Enter zeros where appropri Keep the department Eliminate the department Sales Expenses: Total expenses Net income (loss) Required 2 >

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keep the department Eliminate the department Sales 2700000 0 expenses Direct material 590000 ... View the full answer