Question: QUESTION 3 Spring 20 Company is deciding whether or not to drop the consumer division. Currently the division has sales of $250,000 and variable costs
QUESTION 3 Spring 20 Company is deciding whether or not to drop the consumer division. Currently the division has sales of $250,000 and variable costs of $150,000. The company accountants estimate that dropping the consumer division will decrease total fixed costs by $85.000 What is the expected increase or decrease in operating income of the division is dropped? Show and label your work including whether it is an increase or decrease. TTT Arial 3(12pt) T. . . . 25
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