XYZ Company Has Four Sales Territories and Is Considering Eliminating

question 91

Multiple Choice

XYZ Company has four sales territories and is considering eliminating the Great Lakes Region which had sales of $100,000,direct expenses of $70,000 and indirect expenses of $50,000.If the Great Lakes Region is eliminated,80% of the indirect expenses would still remain.If this region were to be eliminated,the company's overall net income would be:

• A) $20,000 higher.
• B) $30,000 higher.
• C) $20,000 lower.
• D) $40,000 lower.

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Definitions:

Skeletal Muscle

Striated, voluntary muscle tissue that comprises the majority of the muscles in the human body; also called striated muscle.

Pork

The culinary name for meat derived from domestic pigs, commonly consumed worldwide in various cuisines.

Flatworms

A group of invertebrates belonging to the phylum Platyhelminthes, known for their flattened bodies and living in various aquatic or moist terrestrial environments.

Sac Body Plan

A structural design in organisms where the body is shaped like a sac, typically with an opening that serves both as mouth and anus.