Nellie Tompkins is the owner and operator of Tompkins' Salsa Inc. ,a salsa production unit.She makes and sells only three types of salsa--peach,pear,and pineapple.The joint costs of leasing her professional kitchen for manufacture,transport,insurance,and so on are allocated on an equal basis to the three types of salsas.Last year's sales figures and allocated joint costs are given below.Should Tompkins' Salsa Inc.stop selling its pear salsa? Why or why not?

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The Answer of Nellie Tompkins is the owner and operator of Tompkins' Salsa Inc. ,a salsa production unit.She makes and sells only three types of salsa--peach,pear,and pineapple.The joint costs of leasing her professional kitchen for manufacture,transport,insurance,and so on are allocated on an equal basis to the three types of salsas.Last year's sales figures and allocated joint costs are given below.Should Tompkins' Salsa Inc.stop selling its pear salsa? Why or why not?

Nellie Tompkins Is the Owner and Operator of Tompkins' Salsa