Kahn Corporation (A Multi-Product Company) Produces and Sells 8,000 Units

question 118

Multiple Choice

Kahn Corporation (a multi-product company) produces and sells 8,000 units of Product X each year. Each unit of Product X sells for $10 and has a contribution margin of $6. If Product X is discontinued, $50,000 of the $60,000 in annual fixed costs charged to Product X could be eliminated. The annual financial advantage (disadvantage) for the company of eliminating this product should be:

• A) $2,000
• B) ($2,000)
• C) $12,000
• D) ($12,000)

Understand the impact and strategies of grassroots activism in public relations.

Recognize the role and strategies of public relations in health care organizations and campaigns.

Identify the benefits and functionalities of social media in public relations efforts for various organizations, including non-profits and educational institutions.

Comprehend the strategic use of public relations in campaign development for educational and local community issues.

---

Definitions:

Net Exports

Net Exports is the value of a country's total exports minus its total imports, representing the net effect of foreign trade on the economy.

Government Purchases

Expenditures by government entities for goods and services that directly consume economic output.

Real GDP

Refers to the total economic output of a country, adjusted for price changes or inflation, measured in constant prices.

Government Purchases

These are expenditures made by government entities for goods and services that directly satisfy public needs or are used to produce other goods and services for public consumption.