Homework Answers
| Continue product | Discontinue product | Differential effect on Income | |
| Revenues | 194600 | 0 | -194600 |
| Costs:- | |||
| Variable cost | 115500 | 0 | 115500 |
| Variable selling expenses | 32200 | 0 | 32200 |
| Fixed costs | 58800 | 58800 | 0 |
| Income/Loss | -11900 | -58800 | -46900 |
| Prduct T should be continued | |||
| Reason:- Loss is minimum if we continue product |
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