$300.000 $210.000 $340.000 $850.000 ts $180.000 $180.000 $220.000 $590,000 50.000 50000 40.000 140.000 $230.000 $230.000 $260.000 S730.000 5 70.000 $(20.000) $ 80.000 $120.000
$300.000 $210.000 $340.000 $850.000 ts $180.000 $180.000 $220.000 $590,000 50.000 50000 40.000 140.000 $230.000 $230.000 $260.000 S730.000 5 70.000 $(20.000) $ 80.000 $120.000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![H.
Total
Sales
$300,000
$210.000
$340,000
$850,000
Costs:
Variable costs
$180,000
$180,000
$220,000 $590,000
Fixed costs
50.000
50,000
40,000
140,000
Total costs
$230.000
$230.000
$260,000
$730,000
Income (loss)
$ 70.000
$(20,000)
$ 80,000
$120,000
Management is considering the discontinuance of the manufacture and sale of Product G at the beginning of the current year.
The discontinuance would have no effect on the total fixed costs and expenses or on the sales of Products Fand H. What is
the amount of change in net income for the current year that will result from the discontinuance of Product G?
O $30.000 increase
$20.000 increase
O$20.000 decrcase
530.000 dccrcase](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F24232340-bf6b-4530-bcfc-921d608abca2%2F85802b05-1855-48df-9fef-4d884798c728%2F3zhg70j_processed.jpeg&w=3840&q=75)
Transcribed Image Text:H.
Total
Sales
$300,000
$210.000
$340,000
$850,000
Costs:
Variable costs
$180,000
$180,000
$220,000 $590,000
Fixed costs
50.000
50,000
40,000
140,000
Total costs
$230.000
$230.000
$260,000
$730,000
Income (loss)
$ 70.000
$(20,000)
$ 80,000
$120,000
Management is considering the discontinuance of the manufacture and sale of Product G at the beginning of the current year.
The discontinuance would have no effect on the total fixed costs and expenses or on the sales of Products Fand H. What is
the amount of change in net income for the current year that will result from the discontinuance of Product G?
O $30.000 increase
$20.000 increase
O$20.000 decrcase
530.000 dccrcase
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