A segment has the following data:

What will be the incremental effect on net income if this segment is eliminated, assuming the fixed costs will be allocated to profitable segments?
A) $145,000 decrease
B) $15,000 increase
C) $155,000 decrease
D) $140,000 decrease

Question

A segment has the following data:

What will be the incremental effect on net income if this segment is eliminated, assuming the fixed costs will be allocated to profitable segments?
A) $145,000 decrease 
B) $15,000 increase 
C) $155,000 decrease 
D) $140,000 decrease

Quizplus · Accepted Answer

The Answer of A segment has the following data:

What will be the incremental effect on net income if this segment is eliminated, assuming the fixed costs will be allocated to profitable segments?
A) $145,000 decrease 
B) $15,000 increase 
C) $155,000 decrease 
D) $140,000 decrease

A Segment Has the Following Data