please answer in 10 min 17 RURU Corporation currently...

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Accounting

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17 RURU Corporation currently has two divisions which had the following operating results for last year: Cork Rubber Division Division Sales $600,000 $300,000 Variable costs 310.000 200.000 Contribution margin 290,000 100.000 Fixed costs for the division 110.000 60.000 Segment margin 180.000 40,000 Allocated corporate fixed costs..... 100.000 50.000 Net operating income (loss).......... S 80.000 300.000) Since the Rubber Division sustained a loss, the president of RURU is considering the elimination of this division. All of the (Traceable Fixed Cost) fixed costs for the division could be eliminated if the division was dropped. If the Rubber Division was dropped at the beginning of last year, how much higher or lower would RURU's total net operating income have been for the year? A) $10,000 higher B) $40,000 lower C) $50,000 higher D) $40,000 higher 18. Consider the following three conditions: 1. An increase in sales II. An increase in operating assets III. A reduction in expenses Which of the above conditions provide a way in which a manager can improve return on investment? Only 1 Only I and II Only I and III Only II and

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