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Business, 01.11.2019 02:31, JammedBanjo58
Toxemia salsa company manufactures five flavors of salsa. last year, toxemia generated net operating income of $40,000. the following information was taken from last year's income statement segmented by flavor (brackets indicate a negative amount): wimpy mild medium hot atomiccontribution margin $(2000) $45,000 $35,000 $50,000 $162,000segment margin $(16,000) $(5000) $7000 $10,000 $94,000segment margin less allocated common fixed expenses $(26,000) $(15,000) $(3000) $0 $84,000toxemia expects similar operating results for the upcoming year. if toxemia wants to maximize its profitability in the upcoming year, which flavor or flavors should toxemia discontinue? a. no flavors should be discontinued b. wimpy c. wimpy and mild d. wimpy, mild, and medium
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Toxemia salsa company manufactures five flavors of salsa. last year, toxemia generated net operating...
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