Contribution Margin Income Statement Data for the Most Recent Year

question 109

Multiple Choice

Contribution margin income statement data for the most recent year follow:

Assuming the Dog food line is discontinued,total fixed costs remain unchanged,and the space formerly used to produce the Dog food line is used to double the production of Cat food,how will operating income be affected?

• A)Increase $90,000
• B)Increase $246,000
• C)Increase $168,000
• D)Decrease $90,000

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Definitions:

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Characteristics of substances that can alleviate symptoms of depression by balancing chemicals in the brain.

Medication

Substances used to treat and manage illnesses, alleviate symptoms, or modify chemical processes in the body for therapeutic purposes.

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A characteristically high level of resting blood pressure (defined as a systolic blood pressure/diastolic blood pressure reading of more than 140/80 under precisely defined conditions). Can result from any of a variety of causes, but in about 90 percent of cases it is “essential,” meaning a simple cause cannot be identified. Hypertension is a risk factor for death due to cardiovascular disease.