Foremost Footwear Inc. Product-Line Income Statement For the Year Ended April 30, 20Y7   Children's Shoes Men's Shoes Women's Shoes Total Sales   $165,000     $300,000     $500,000   $965,000 Costs of goods sold: Variable costs $105,000 $150,000 $220,000 $475,000 Fixed costs 32,000 60,000 120,000 212,000 Total cost of goods sold $137,000 $210,000 $340,000 $687,000 Gross profit $28,000 $90,000 $160,000 $278,000 Selling and adminstrative expenses: Variable selling and admin. expenses $21,000 $45,000 $95,000 $161,000 Fixed selling and admin. expenses 17,000 20,000 25,000 62,000 Total selling and admin. expenses $38,000 $65,000 $120,000 $223,000 Income (loss) from operations $(10,000) $25,000 $40,000 55,000     If the Children Shoe's are discontinued, the company's income would decrease by $fill in the blank 3

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Foremost Footwear Inc.
Product-Line Income Statement
For the Year Ended April 30, 20Y7
  Children's Shoes Men's Shoes Women's Shoes Total
Sales   $165,000     $300,000     $500,000   $965,000
Costs of goods sold:
Variable costs $105,000 $150,000 $220,000 $475,000
Fixed costs 32,000 60,000 120,000 212,000
Total cost of goods sold $137,000 $210,000 $340,000 $687,000
Gross profit $28,000 $90,000 $160,000 $278,000
Selling and adminstrative expenses:
Variable selling and admin. expenses $21,000 $45,000 $95,000 $161,000
Fixed selling and admin. expenses 17,000 20,000 25,000 62,000
Total selling and admin. expenses $38,000 $65,000 $120,000 $223,000
Income (loss) from operations $(10,000) $25,000 $40,000 55,000

 

 

If the Children Shoe's are discontinued, the company's income would decrease by $fill in the blank 3.

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