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Question - Contribution Margin of Walls Corporation, Consumer division is Rs. 1900,000 and the fixed expenses is Rs. 2,200,000 per year. Company is considering to eliminate this consumer division. If the Consumer Division is eliminated, $1,700,000 of the above fixed expenses could be avoided. What will be the effect on Wall's profit next year if Consumer Division is eliminated?
The following information is available from Gray Co.'s accounting records for the year ended December 31, 2010 (amounts in million):
Hamline's operating capacity is 45,000 units. If Hamline accepts Betty's special order, what is Hamline's cost of lost sales from current customers
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