Rock Inc. has three divisions, Granite, Lime and Nina. All fixed costs are unavoidable. Following is the income statement for the previous year: a. What would Rock's profit margin be if the Lime division were dropped?
b. What would Rock's profit margin be if the Nina division were dropped?

Question

Rock Inc. has three divisions, Granite, Lime and Nina. All fixed costs are unavoidable. Following is the income statement for the previous year:  a. What would Rock's profit margin be if the Lime division were dropped?
b. What would Rock's profit margin be if the Nina division were dropped?

Quizplus · Accepted Answer

The Answer of Rock Inc. has three divisions, Granite, Lime and Nina. All fixed costs are unavoidable. Following is the income statement for the previous year:  a. What would Rock's profit margin be if the Lime division were dropped?
b. What would Rock's profit margin be if the Nina division were dropped?

Rock Inc Has Three Divisions, Granite, Lime and Nina