Business, 30.07.2021 02:50, BardiFan

Granfield Company is considering... Granfield Company is considering eliminating its backpack division, which reported an operating loss for the recent year of $42,300. The division sales for the year were $965,700 and the variable costs were $478,000. The fixed costs of the division were $530,000. If the backpack division is dropped, 40% of the fixed costs allocated to that division could be eliminated. The impact on Granfield's operating income for eliminating this business segment would be:. a. $269,200 increase.
b. $476,000 decrease.
c. $206,800 increase.
d. $269,200 decrease.
e. $476,000 increase.

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Granfield Company is considering... Granfield Company is considering eliminating its backpack divisi...