A segment has the following data: What will be the incremental effect on net income if this segment is eliminated, assuming the fixed expenses will be allocated to profitable segments?
A) $200,000 increase
B) $200,000 decrease
C) $275,000 decrease
D) Cannot be determined from the data provided.

Question

A segment has the following data:  What will be the incremental effect on net income if this segment is eliminated, assuming the fixed expenses will be allocated to profitable segments?
A) $200,000 increase 
B) $200,000 decrease 
C) $275,000 decrease 
D) Cannot be determined from the data provided.

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 expenses will be allocated to profitable segments?
A) $200,000 increase 
B) $200,000 decrease 
C) $275,000 decrease 
D) Cannot be determined from the data provided.

A Segment Has the Following Data: What Will Be