All About Animals Has Two Product Lines: Cat Food and Dog

question 69

Multiple Choice

All About Animals has two product lines: Cat food and Dog food.Contribution margin income statement data for the most recent year follow:

Assuming total fixed costs remain unchanged,how would discontinuing the Dog food line affect operating income?

• A)Increase in total operating income of $33,000
• B)Increase in total operating income of $159,000
• C)Decrease in total operating income of $45,000
• D)Decrease in total operating income of $111,000

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Definitions:

Behavior

The actions or reactions of an organism or system, usually in response to external stimuli.

Housing Preferences

The individual or collective choices and priorities made when selecting a place to live, influenced by factors such as location, size, price, and amenities.

Single Rooms

Rooms intended for occupancy by one person, often found in hotels, dormitories, or residential institutions.

Extraverts

Individuals characterized by their outgoing, sociable, and lively behaviors, often seeking stimulation from the external environment.