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A Manager Is Attempting to Determine Whether a Segment of the Business

Question 54

Multiple Choice

A manager is attempting to determine whether a segment of the business should be eliminated.The focus of attention for this decision should be on


A) the net income shown on the segment's income statement.
B) sales minus total expenses of the segment.
C) sales minus total direct expenses of the segment.
D) sales minus total variable expenses and avoidable fixed expenses of the segment.

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