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Eagan Company Has Three Product Lines, A, B and C

Question 48

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Eagan Company has three product lines, A, B and C. The following information is available:
Eagan Company has three product lines, A, B and C. The following information is available: -Assume that product line B is discontinued and replaced with product line C. This will triple the production and sales of product line C without increasing fixed costs. Operating income will A) increase $2,000. B) increase $6,000. C) decrease $2,000. D) not change. Eagan Company has three product lines, A, B and C. The following information is available: -Assume that product line B is discontinued and replaced with product line C. This will triple the production and sales of product line C without increasing fixed costs. Operating income will A) increase $2,000. B) increase $6,000. C) decrease $2,000. D) not change.
-Assume that product line B is discontinued and replaced with product line C. This will triple the production and sales of product line C without increasing fixed costs. Operating income will


A) increase $2,000.
B) increase $6,000.
C) decrease $2,000.
D) not change.

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