A Company Has Two Different Products That Sell to Separate

question 112

Multiple Choice

A company has two different products that sell to separate markets. Financial data are as follows:
$$\begin{array} { | l | r | r | r | } \hline & \text { Product A } & \text { Product B } &{ \text { Total } } \\\hline \text { Reverue } & \$ 12,000 & \$ 8,000 & \$ 20,000 \\\hline \text { Variable cost } & ( \$ 7,500 ) & ( \$ 8,100 ) & ( \$ 15,600 ) \\\hline \text { Fixed cost (allocated) } & ( \$ 3,000 ) & ( \$ 1,000 ) & ( \$ 4,000 ) \\\hline \text { Operating income } & \$ 1,500 & ( \$ 1,100 ) & \$ 400 \\\hline\end{array}$$
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Assume that fixed costs are all unavoidable and that dropping one product would not impact sales of the other. If Product B is dropped, what would the impact be on total operating income?

• A) Increase $1,100
• B) Increase $100
• C) Decrease $1,100
• D) Decrease $100

Identify appropriate self-help and complementary techniques for managing common health problems.

Recognize the importance of safety, interactions, and potential side effects associated with herbal supplements and other CAM practices.

Evaluate the credibility and reliability of sources for information on integrative therapies.

Understand the role of the nurse in guiding patients through safe use of CAM and integrating these practices with conventional medicine.

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Definitions:

Intrinsic Motivation

Act of doing something for its inherent satisfaction rather than for some separable consequence or external reward.

Academic Stability

The ability to maintain consistent academic performance and engagement over time.

Extrinsic Motivation

Motivation that is driven by external rewards such as money, fame, grades, or praise.

Globalization

The process by which businesses or other organizations develop international influence or start operating on an international scale, leading to increased interconnectedness and interdependence of countries.