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Category > Accounting Posted 01 May 2017 My Price 5.00

A company expects its three departments

A company expects its three departments to yield the following income for next year:

Dept A: Sales $6,000; Avoidable expenses $2,000; Unavoidable expenses $1,500; Total expenses $3,500; Net income (loss) $2,500
Dept B: Sales $5,000; Avoidable expenses $1,000; Unavoidable expenses $3,000; Total expenses $4,000; Net inome (loss) $1,000
Dept C: Sales $6,800; Avoidable expenses $4,000; Unavoidable expenses $2,500; Total expenses $6,500; Net income (loss) $300

Compute the change to the company's total net income if Dept. C is eliminated.

$300 decrease
$300 increase
$2,800 decrease
$2,800 increase
$6,800 decrease

Answers

Alpha Geek
(8)
Status NEW Posted 01 May 2017 05:05 PM My Price 5.00

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file 1493658706-answer1.docx preview (94 words )
A----------- co-----------mpa-----------ny -----------exp-----------ect-----------s i-----------ts -----------thr-----------ee -----------dep-----------art-----------men-----------ts -----------to -----------yie-----------ld -----------the----------- fo-----------llo-----------win-----------g i-----------nco-----------me -----------for----------- ne-----------xt -----------yea-----------r:D-----------ept----------- A:----------- Sa-----------les----------- $6-----------,00-----------0; -----------Avo-----------ida-----------ble----------- ex-----------pen-----------ses----------- $2-----------,00-----------0; -----------Una-----------voi-----------dab-----------le -----------exp-----------ens-----------es -----------$1,-----------500-----------; T-----------ota-----------l e-----------xpe-----------nse-----------s $-----------3,5-----------00;----------- Ne-----------t i-----------nco-----------me -----------(lo-----------ss)----------- $2-----------,50-----------0De-----------pt -----------B: -----------Sal-----------es -----------$5,-----------000-----------; A-----------voi-----------dab-----------le -----------exp-----------ens-----------es -----------$1,-----------000-----------; U-----------nav-----------oid-----------abl-----------e e-----------xpe-----------nse-----------s $-----------3,0-----------00;----------- To-----------tal----------- ex-----------pen-----------ses----------- $4-----------,00-----------0; -----------Net----------- in-----------ome----------- (l-----------oss-----------) $-----------1,0-----------00D-----------ept----------- C:----------- Sa-----------les----------- $6-----------,80-----------0; -----------Avo-----------ida-----------ble----------- ex-----------pen-----------ses----------- $4-----------,00-----------0; -----------Una-----------voi-----------dab-----------le -----------exp-----------ens-----------es -----------$2,-----------500-----------; T-----------ota-----------l e-----------xpe-----------nse-----------s $-----------6,5-----------00;-----------
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