A Manager Is Attempting to Determine Whether a Segment of the Business

question 54

Multiple Choice

A manager is attempting to determine whether a segment of the business should be eliminated.The focus of attention for this decision should be on

• A)the net income shown on the segment's income statement.
• B)sales minus total expenses of the segment.
• C)sales minus total direct expenses of the segment.
• D)sales minus total variable expenses and avoidable fixed expenses of the segment.

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Definitions:

Wright Brothers

Orville and Wilbur Wright, American inventors and aviation pioneers who are credited with inventing and building the world's first successful motor-operated airplane.

Preservation of Knowledge

The act of maintaining, protecting, and saving information or skills so that it remains available over time, often through documentation or teaching.

Collectivist Cultures

Societies that prioritize the group over individual interests, emphasizing community, cooperation, and interdependence.

Individualist Cultures

Societies that prioritize the needs and rights of the individual over those of the group or community.