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Corn Crunchers Has Three Product Lines

Question 28

Multiple Choice

Corn Crunchers has three product lines. Its only unprofitable line is Corn Nuts, the results of which appear below for 2013: Corn Crunchers has three product lines. Its only unprofitable line is Corn Nuts, the results of which appear below for 2013: If this product line is eliminated, 30% of the fixed expenses can be eliminated. How much are the relevant costs in the decision to eliminate this product line? A) $180,000 B) $1,520,000 C) $1,340,000 D) $1,100,000 If this product line is eliminated, 30% of the fixed expenses can be eliminated. How much are the relevant costs in the decision to eliminate this product line?


A) $180,000
B) $1,520,000
C) $1,340,000
D) $1,100,000

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