Homework answers / question archive / Company A has 2 divisions - north and south and their data is as follows: North South Sales 900,000 800,000 Variable expenses 450,000 300,000 Traceable Fixed Expenses 260,000 210,000 Allocated common expenses 240,000 190,000 Net operating income (loss) (50,000) 100,000 Should management shut down the north division? Calculate the net operating income if the north division is eliminated

Company A has 2 divisions - north and south and their data is as follows: North South Sales 900,000 800,000 Variable expenses 450,000 300,000 Traceable Fixed Expenses 260,000 210,000 Allocated common expenses 240,000 190,000 Net operating income (loss) (50,000) 100,000 Should management shut down the north division? Calculate the net operating income if the north division is eliminated

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Company A has 2 divisions - north and south and their data is as follows:

North South
Sales 900,000 800,000
Variable expenses 450,000 300,000
Traceable Fixed Expenses 260,000 210,000
Allocated common expenses 240,000 190,000
Net operating income (loss) (50,000) 100,000

Should management shut down the north division?
Calculate the net operating income if the north division is eliminated.