Discontinuing a Segment or Product May Not Be the Best

question 99

True/False

Discontinuing a segment or product may not be the best choice when the segment is contributing to fixed expenses.

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Definitions:

Staff

The group of individuals who work for an organization, contributing their skills and labor to achieve the objectives of the organization.

Practice

The act of repeatedly performing or exercising an activity or skill so as to acquire or maintain proficiency in it.

Internal Auditors

Professionals who conduct audits within an organization to assess the effectiveness, efficiency, and compliance of operational processes and controls.

Accounting Department

The division within a business that is responsible for managing the financial records, payroll, receivable and payable accounts, and financial reporting.