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  1. business
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  3. discontinue a segment product x has revenue of $19

Discontinue a Segment Product X has revenue of $196,000, variable cost of goods sold of...

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Accounting

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Discontinue a Segment Product X has revenue of $196,000, variable cost of goods sold of $117,000, variable selling expenses of $31,800, and fixed costs of $59,200, creating a loss from operations of $12,000 Prepare a differential analysis as of May 9 to determine whether to Continue Product X (Alternative 1) or Discontinue Product X (Alternative 2), assuming fixed costs are unaffected by the decision. If an amount is zero, enter *o". For those boxes in which you must enter subtracted or negative numbers use a minus sign Differential Analysis Continue Product X (Alt. 1) or Discontinue Product X (Alt. 2) May 9 Continue Discontinue Differential Product X Product x Effects (Alternative 1) (Alternative 2) (Alternative 2) Revenues Costs: Variable cost of goods sold Variable selling expenses Fixed costs Profit (Loss) Determine if Product X should be continued (Alternative 1) or discontinued (Alternative 2)

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