[Answer] 3. Consider the following statements:I. A division's net operating income after deducting both traceable and allocated common fixed costs is negative.II. The division's avoidable fixed costs exceed its contribution margin.III. The division's traceable fixed costs plus its allocated common corporate costs exceed its contribution margin.Which of the above statements is a valid reason for eliminating the division? A. Only IB. Only IIC. Only IIID. Only I and II

Answer: B

Most relevant text from all around the web:

3. Consider the following statements:I. A division's net operating income after deducting both traceable and allocated common fixed costs is negative.II. The division's avoidable fixed costs exceed its contribution margin.III. The division's traceable fixed costs plus its allocated common corporate costs exceed its contribution margin.Which of the above statements is a valid reason for eliminating the divis...

Disclaimer: 

Our tool is still learning and trying its best to find the correct answer to your question. Now its your turn, "The more we share The more we have". Comment any other details to improve the description, we will update answer while you visit us next time...Kindly check our comments section, Sometimes our tool may wrong but not our users.

Are We Wrong To Think We're Right? Then Give Right Answer Below As Comment