The Decision to Continue or Discontinue a Segment of the Business

question 85

Multiple Choice

The decision to continue or discontinue a segment of the business should focus on:

• A)sales minus total variable expenses and total fixed expenses.
• B)sales minus total variable expenses and avoidable fixed expenses of the segment.
• C)sales minus total variable expenses and allocated fixed expenses of the business.
• D)None of the answers are correct.

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Definitions:

Information Technology

The use of computers, storage, networking, and other physical devices, infrastructure, and processes to create, process, store, secure, and exchange all forms of electronic data.