The General Rule Is to Discontinue a Segment of the Business

question 77

True/False

The general rule is to discontinue a segment of the business when its total contribution margin does not cover avoidable fixed costs.

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Definitions:

Universal Precautions

A set of guidelines and protective measures to prevent transmission of bloodborne infections and pathogens in healthcare settings.

Idiopathic Thrombocytopenic Purpura

A disorder characterized by a low platelet count of unknown cause, leading to bleeding and bruising easily.

Platelets

Small blood cells that play a crucial role in clotting, helping to stop bleeding by clumping and forming plugs in blood vessel injuries.

Hemophilia

A genetic disorder that impairs the body's ability to make blood clots, leading to excessive bleeding.