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Which cannot be eliminated would be

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Question 1: The effect on a company's operating income of discontinuing a department with a contribution margin of $17,000 and an allocated fixed cost of which $14,000 cannot be eliminated would be:

Option a) increase operating income by $ 1000

Option b) decrease operating income by $18,000

Option c) cannot be determined

Option d) increase operating income by $ 18,000

Option e) decrease operating income by $1000

Reference no: EM132558793

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