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Tiger Pride Produces Two Product Lines: T-Shirts and Sweatshirts

Question 171

Multiple Choice

Tiger Pride produces two product lines: T-shirts and Sweatshirts. Product profitability is analyzed as follows:
Tiger Pride produces two product lines: T-shirts and Sweatshirts. Product profitability is analyzed as follows: What is the projected decline in operating income if the direct materials costs of T-Shirts increase to $3.50 per unit and direct labor costs of Sweatshirts increase to $14.00 per unit? A) $216,500 B) $100,500 C) $116,000 D) $514,500
What is the projected decline in operating income if the direct materials costs of T-Shirts increase to $3.50 per unit and direct labor costs of Sweatshirts increase to $14.00 per unit?


A) $216,500
B) $100,500
C) $116,000
D) $514,500

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