Use the Information Below to Answer the Following Question(s)

question 33

Multiple Choice

Use the information below to answer the following question(s) :
Accessibility Products Company has three models: D, E, and F. The following information is available:

Accessibility Products Company is thinking of dropping model F because it is reporting an operating loss. All fixed expenses are unavoidable.
-Assuming Accessibility Products Company drops model F and does not replace it, what affect will this have on operating income?

• A) Decrease $1,000
• B) Increase $1,000
• C) Increase $15,000
• D) Decrease $15,000

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Definitions:

Group Decision Making

The process of making choices or decisions as a group, rather than individually, often incorporating diverse opinions and expertise.

Fairness

The quality of making judgments that are free from discrimination or favoritism, ensuring equitable treatment for all parties involved.

Effectiveness

A measure of the degree to which objectives are achieved and desired results are obtained.

Strictness

The quality of being rigid and exacting in standards or rules.