Lisah, Inc., manufactures golf clubs in three models. For the year, the Big Bart line has a net loss of $3,500 from sales $201,000, variable costs $175,000, and fixed costs $29,500. If the Big Bart line is eliminated, $20,000 of fixed costs will remain. Prepare an analysis showing whether the Big Bart line should be eliminated.

                             Net Income Analysis

                                       Continue   Eliminate   Increase/Decrease

Sales                               201,000          0                 201,000

Less: Variable cost        175,000          0                 175,000

Contribution margin      26,000            0                  26,000

Less: Fixed expenses    29,500          20,000         9,500

Net Income                     -3,500           20,000       -16,500

Therefore, the Big Bart line should not be continued.

answer; i believe that the correct answer is client agreement;

whole quiz

1. the sum of all activities involved in getting high-quality products into the marketplace

2.operations

3. the principle of looking at the supply chain as a whole in order to improve the overall flow through the system.

4. produced; performed

5. activities producing tangible products, such as radios, newspapers, buses, and textbooks.

6. activities producing intangible and tangible products, such as entertainment, transportation, and education.

7.   customer focus

8. analyzing a competitor's products to identify desirable improvements

9. the systematic direction and control of the processes that transform resources into finished projects that create value for and provide benefits to consumers.

10. operation management.

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