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Crane Company Division B Recorded Sales of $360,000, Variable Cost

Question 127

Essay

Crane Company Division B recorded sales of $360,000, variable cost of goods sold of $315,000, variable selling expenses of $13,000, and fixed costs of $61,000, creating a loss from operations of $29,000. Determine the differential income or loss from the sales of Division
B. Should this division be discontinued?

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