Prepare an analysis showing whether the big bart line

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Lisah, Inc., manufactures golf clubs in three models. For the year, the Big Bart line has a net loss of $4,700 from sales $201,000, variable costs $175,000, and fixed costs $30,700.

If the Big Bart line is eliminated, $19,800 of fixed costs will remain. Prepare an analysis showing whether the Big Bart line should be eliminated.

(Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)



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Eliminate


Net Income
Increase (Decrease)


Sales


$


$


$


Variable costs








Contribution margin








Fixed costs








Net Income / (Loss)


$


$


$


Reference no: EM131970598

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