Multiple Choice
Discontinuing unprofitable products will ________.
A) increase profitability if the resources no longer required by the discontinued product can be eliminated
B) increase profitability if capacity constraints are adjusted
C) decrease profitability if the fixed costs does not change after discontinuing the particular business segment
D) increase profitability when a large portion of the fixed costs are unavoidable
Correct Answer:

Verified
Correct Answer:
Verified
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