How much will pope net operating income increase

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Problem 1: Pope Company produces a model fan, which currently has a net loss. Below are its sales and costs Sales revenue $135,130 Less: Variable cost 41,851 Contribution margin Less: Direct fixed costs 46.097 Segment margin Less: Common fixed costs 57.441 Net operating income (loss) Eliminating the model fan product line would eliminate all of direct fixed costs. All of the common fixed costs would be redistributed to Pope's remaining product lines. By how much will Pope's net operating income increase or decrease if the fan is eliminated?

Reference no: EM132733369

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