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pduvin pduvin
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Posts: 679
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6 years ago
The incremental benefit or (loss) of processing Jarlon into Jaxton is
A) $480,000.
B) ($128,000).
C) $64,000.
D) ($96,000).
E) ($32,000).
Textbook 
Cost Accounting: A Managerial Emphasis, Canadian Edition

Cost Accounting: A Managerial Emphasis, Canadian Edition


Edition: 7th
Authors:
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wrote...
6 years ago
B
Explanation:  B) Incremental Revenues: [12,000 * $48] - [16,000 * $38] = $576,000 - $608,000 = ($32,000)
Incremental Costs: [12,000 * $8] = $96,000
Company loses $32,000 + $96,000 = $128,000
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